"For Those Living In Slums, On Rent": New Housing Scheme For Middle Class

The Government has said it would launch a housing scheme for the "deserving sections" of the middle class in its last budget before the general elections. Union Finance Minister Nirmala Sitharaman, while presenting her sixth budget in a row, announced: "A scheme to be launched to help deserving sections of middle class..."

The housing scheme would benefit those "living in rented houses or slums or chawls or unauthorised colonies to buy or build their own houses," she said.

The budget - an interim one before a new administration takes oath - focussed on infrastructure and long-term reforms to drive growth.

The Finance Minister also said that the government would increase housing in the next five years, expand free electricity and improve medical care.

Ms Sitharaman said two crore more houses will be constructed under the Pradhan Mantri Awas Yojana (Gramin) in the next five years. The PMAY(G) is a social welfare programme to provide housing for the rural poor in the country.

"Despite the challenges due to COVID-19, the implementation of the Pradhan Mantri Awas Yojana (Gramin) continued, and we are close to achieving the target of three crore houses," she said, adding, "Two crore more houses will be taken up in the next five years to meet the requirement arising from the increase in the number of families".

"The next five years will be years of unprecedented development and golden moments to realize the dream of developed India by 2047," she said.

Prime Minister Narendra Modi, who faces the national polls in a few months, launched the scheme in 2015 with the goal of "Housing for All."

The Government resisted any large giveaways in the Budget that foresees an increase in capital expenditure on long-term projects by another 11 per cent over last year to Rs 11.1 trillion even as the government's overall spending rises at a slower 6 per cent.

Over the last three years, the spending on roads, bridges and other infrastructure as a way to boost the economy and create jobs has been stepped up.