Finance Minister Nirmala Sitharaman announces the budget for 2022. Infrastructure spending expected to rise, but budget constraints leave little scope for concessions to households affected by the pandemic.
Finance Minister allocates Rs 48,000 crores for affordable housing in line with Pradhan Mantri Awas Yojana in rural and urban planning categories in the Union budget 2022-2023. Under PMAY-G, around 26.20 lakh homes were completed till November 25 in FY 21-22, and 4.49 lakh homes completed under PMAY-U till December 2021.
Promoting affordable housing-
Till 18th January 2022 around 2.17 crore houses have been approved and 1.69 crore houses were allowed to build from June 18. Under PMAY-G beneficiaries without land have the highest priority for housing allocation.
Finance minister further announced, in 2022-2023, 80 lakh houses will be built for certain recipients of Prime Minister Awas Yojana in both rural and urban areas. The central government will work with state governments to decrease the time required for all land and construction permits. Promoting affordable housing for the middle class and economically weaker sections in urban areas. We will also work with the sector of financial regulators to increase access to capital and reduce the cost of brokerage.”
Expert committee for Urban planning-
Nirmala Sitharaman also announced Rs 60,000 crore allocation for 3.8 crore households in 2022-23 for clean water under “Har Ghar Nal Se Jal Yojana.” The current coverage of Har Ghar, Nal Se Jal is around 8.7 crore. Out of which 5.5 crore households have received tap water in the last 2 years. A high-level committee consisting of urban planners, economists and urban institutions would be formed. This committee will provide advise on urban sector policy, capacity building, planning, implementation and management.
Key highlights of Union Budget 2022 for real estate
– States will be asked to accept land parcel identification numbers. Cross-border solution of changes in IBC, voluntary liquidation of the company reduced from 2 years to 6 months.
– The construction of 80 lakh houses will be completed by 2022-2023 for identified recipients of Prime Minister Awas Yojana. 60,000 households will be identified as recipients of Prime Minister Awas Yojan’s assistance in rural and urban areas.
– The government’s effective capital expenditure is estimated at Rs 10.68 lakh crores in 22-23, which is about 4.1% of GDP. Sovereign green bonds will be issued to mobilize resources for green infrastructure.
– Union budget investment increased by 35.4% to Rs 7.50 lakh crore in 2022-2023 i.e, 2.9% of GDP.
– Implementation of modern building bylaws, Transit Oriented Development, and Town Planning Schemes would facilitate reforms so that people live and work closer to mass transit system.
– A high-level committee composed of accredited urban planners, urban economists and institutions will be formed. The committee will make recommendations on urban sector policy, capacity development, planning, implementation and management.