NATIONAL SCHEMES

PMAY-U 2.0

  • Context: The Government approved more than 2.13 lakh additional houses under Pradhan Mantri Awas Yojana-Urban 2.0.
  • With these approvals, the total number of houses sanctioned under PMAY-U 2.0 has crossed 16.13 lakh

Pradhan Mantri Awas Yojana–Urban 2.0 (PMAY-U 2.0)

About

  • PMAY-U 2.0, launched in 2024, is the upgraded version of the Pradhan Mantri Awas Yojana–Urban (PMAY-U) introduced in 2015. 
  • It seeks to provide all-weather pucca houses to one crore poor and middle-class urban families through construction, purchase, or rental options. 
  • The scheme will be implemented for five years by States, Union Territories, and Primary Lending Institutions (PLIs). 
  • The Centre has earmarked ₹10 lakh crore for the programme, including ₹2.30 lakh crore as subsidy support. 

Eligibility

  • Beneficiary families should not own a pucca house anywhere in India in the name of any family member. 
  • The scheme covers: 
    • Economically Weaker Section (EWS): Annual income up to ₹3 lakh. 
    • Low Income Group (LIG): Annual income between ₹3 lakh and ₹6 lakh. 
    • Middle Income Group (MIG): Annual income between ₹6 lakh and ₹9 lakh. 
  • An adult earning member without ownership of a house is treated as a separate household for eligibility purposes. 

Coverage

    • PMAY-U 2.0 covers all statutory towns identified in Census 2011 and those notified later by State Governments. 
    • Areas under Urban Development Authorities, Industrial Development Authorities, and notified Planning Areas are also included. 
  • Under In-situ Slum Redevelopment, eligible slum dwellers receive a grant of ₹1 lakh per house.

Interest Subsidy Scheme (ISS)

    • Provides a 4% interest subsidy on housing loans up to ₹25 lakh, for houses costing up to ₹35 lakh
  • The subsidy applies to the first ₹8 lakh of the loan with a repayment period of 12 years. 
  • Beneficiaries can receive a maximum subsidy of ₹1.80 lakh, credited in five annual instalments to their bank accounts.