Background:
The Pradhan Mantri Awas Yojana - Urban (PMAY-U) and its successor, PMAY (U) 2.0 schemes, were introduced to tackle the housing inadequacy in India’s urban areas, driven by rapid urbanisation, migration, and an increasing affordability gap. With urban populations rising sharply, many migrants are forced into slums or informal settlements due to a lack of affordable housing. From the Technical Group on Urban Housing Shortage 2012-17 to various estimations by Think Tanks, there was an estimated shortage of 18.78 - 50 million housing units, with the vast majority needed for economically weaker sections (EWS) and low-income groups (LIG). The growing gap between incomes and property prices makes it difficult for lower-income groups to access decent housing. PMAY-U addresses this by providing subsidies and incentives for affordable housing construction, aiming for "Housing for All." It promotes affordable and sustainable housing on an ownership and rental basis. It supports inclusive urban development by improving the quality of life for urban residents and addressing India’s housing crisis while contributing to economic growth and better urban planning.
Even though PMAY is largely a centrally sponsored scheme, its execution involves coordination with various other entities at the central, state, and local levels. State governments have nodal agencies that act as a bridge between the central government, urban Local Bodies, and other stakeholders. Primus Partners provides strategic advisory services to nodal agencies in two of the leading states, to draft policies further and assist in their implementation while coordinating with various stakeholders.
Our Approach:
- State governments, through Nodal Agencies, are responsible for drafting policies necessary for successfully implementing all verticals of the scheme. Primus Partners provides strategic advisory to nodal agencies through the following approaches:
- Draft tailor-made policies for State Governments by reviewing existing housing ecosystems.
- Coordinating with various stakeholders involved in housing systems and developing consensus to achieve the targets of “Housing For All.”
- Program management of all verticals under the scheme and assist implementation agencies in completing these schemes in a timebound manner.
- Proving human-centric and technology-driven solutions supported by data to policymakers to advance the objectives systemically.
- Facilitating the nodal agencies and implementing agencies with Capacity-Building and Training requirements to successfully implement the scheme particulars.
- Overall monitoring and reporting progress of all verticals, managing risks, identifying bottlenecks, if any, and assisting in resolving them with the help of concerned stakeholders.
Benefits:
- Provides subsidised home loans making housing affordable for Economically Weaker Sections (EWS), Low-Income Groups (LIG), and Middle-Income Groups (MIG).
- Ensures affordable housing through multiple strategies.
- Prioritizes housing for vulnerable groups such as women, scheduled castes (SC), scheduled tribes (ST), and differently-abled individuals to promote inclusivity.
- Encourages public-private partnerships (PPP) to increase the affordable housing supply and improve urban infrastructure.
- Promotes eco-friendly and sustainable housing technologies to ensure environmental benefits.
- Improves housing quality, aiming for better living conditions and all-weather homes.
- Emphasizes the development of affordable rental housing, particularly for migrant workers and urban poor.
- Encourages faster project execution by adopting advanced technologies like prefabricated construction.
- Links housing projects with urban infrastructure upgrades, improving essential water and sanitation services.
