Pradhan Mantri Grameen Awas Yojna: EMI relief for middle class

Prime Minister Narendra Modi launched the "Pradhan Mantri Grameen Awas Yojna" - an ambitious housing scheme for rural poor - during a rally in Agra.

Indirectly referring to West Bengal Chief Minister Mamata Bannerjee who has been opposing the demonetization, Modi said politicians under whom chit-fund scams prospered are now questioning the move.

He added the decision was taken to safeguard India's future.

PM Modi stated that his government wants every citizen of India to have a house by 2022 - when India would celebrate 75 years of independence.

He said the housing scheme would also provide employment opportunity to many people.

He formally launched 'Housing for all' for the rural poor under which the government provides an environmentally safe, secure 'pucca house' to every rural household.

The government aims to complete one crore houses in the housing scheme's first phase by Mar'19.

The houses' unit cost has been increased; a minimum support of Rs.1.5-1.6 lakh would be provided.

Also, a provision of bank loans up to Rs.70,000 are available for the beneficiaries.

Beneficiaries would be selected through a transparent process basis 2011 Socio-Economic Census and validating it through 'gram sabha'.

EMI of citizens earning Rs. 12-18L annually, who bought their first house in an urban area under the PM Awas Yojna, will come down by Rs. 2,000.

The government has also offered interest subsidies of 3-4% on loan amounts upto Rs. 12L availed from January, even if the total borrowing is higher.

Nuclear families and earning young adults are eligible for the scheme.