Ministry of Rural Development has set a target to build as many as 2.15 crore houses under Pradhan Mantri Awaas Yojna (PMAY) in rural India by 2022.
The rural ministry has estimated fund requirement of Rs 2.86 lakh crore for the scheme, of which about Rs 90,000 crore will be funded by the beneficiary states and the remaining Rs 1.56 lakh crore will be borne by the central government. Officials in the ministry say that the government intends to seek budgetary support of about Rs 72,361 crore in the next 3 years and it may borrow Rs 84,273 crore from external sources like National Bank for Agriculture and Rural Development (Nabard) or National Housing Bank (NHB).
In the last 5 years of the Bharatiya Janata Party-led government as many as 1.26 crore houses were built under the PMAY (Rural), falling short by 20 lakh against its target of 1.46 lakh crore houses at the end of FY19.
Building 2.15 crore houses in the next 3 years will mean an average of over 70 lakh houses every year and 6 lakh houses every month to meet the target at the end of 2022. Ministry of Rural Development has identified pain areas of achieving the target and has already intimated states, including Bihar, Andhra Pradesh, Kerala, Jammu & Kashmir and Tamil Nadu which are lagging behind when it comes to meeting the targets.
Sources also told CNBC-TV18 that in some states the issue of land has cropped up and those particular states have been asked to arrange lands for as many as 4 lakh landless beneficiaries under the PMAY (Rural).
The rural development ministry has also set a target of building 1.25 lakh kilometer of roads in rural India in the third phase of the Pradhan Mantri Sadak Yojna (PMSY) as against a target of 50,000 kilometres set in 2013 for the second phase.
Sources add: “Third phase expansion of rural road will be based on connecting villages to schools, hospitals, and nearby market to propel economic growth and basic amenities.”
A cabinet nod is expected soon on the third phase of PMSY.
Meanwhile, a decision to link annual wages under Mahatma Gandhi National Rural Employment Guarantee Scheme (MNREGS) to Consumer Price Index (CPI) for agricultural labourers to CPI Rural is still being deliberated upon by the ministry as it will have a financial impact of about Rs 2,500 crore on the government as and when it is approved.