New Delhi: A government-appointed
committee has recommended a hike in allocation of grants for
construction of rural houses for Below Poverty Line category
from Rs 45,000 to Rs 75,000 per dwelling unit.
The Banker`s Committee on Rural Housing submitted its
report to Rural Development Minister Vilasrao Deshmukh today
recommending the hike in grant for the Indira Awas Yojana for
the people living Below Poverty Line.
The committee also proposed a loan of Rs 50,000 to BPL
families in form of affordable credit at four per cent under
Differential Rate of Interest (DRI) scheme of the Centre.
One of the key recommendations of the committee is to
extend the repayment period for the loans to 15 years. It has
viewed that since the loan is given for housing, the EMI may
be limited to Rs 300-350 so that it is within the repayment
capacity of the borrower.
Deshmukh said the recommendations of the expert
committee would be examined by the ministry towards its
commitment of providing affordable housing for the rural
people across the country.
So far the benefits available under Indira Awas Yojana
are grant of Rs 45,000 each for construction of new houses in
plain areas and Rs 48,500 in hilly and difficult areas, while
it is Rs 15,000 for upgradation of old houses.
The eight-member panel headed by R Sridhar, CMD of
Central Bank Of India also recommended a group based lending
approach for rural housing for giving better results and need
for policy changes with regard to linking of repayment of
rural housing loans to crop cycle.
PTI
