Budget 2024 Highlights on Affordable Housing Scheme for Middle Class: Reaction by our Managing Director
Nirmala Sitharaman presented the interim budget 2024 highlights on February 1, adjusting the GDP growth projections to around 7% for the fiscal year 2024-25. The government aimed to attain “Viksit Bharat” by 2047 focusing on debt and deficit minimization, social empowerment, and going green strategies.
The finance minister said that the government would introduce an affordablenew housing schemebudget 2024 for the middle class to purchase or construct their own homes. It mainly focuses on economical housing, infrastructure, and green energy initiatives instead of addressing key real estate requirements like loan considerations, tax incentives, etc.
She strategically addressed challenges and upheld Government priorities which includesgradual spending on infrastructural development, promoting clean energy and electric vehicles, developing rural and middle-class housing, expanding medical colleges and facilities, and encouraging foreign investments.
Real Estate Budget 2024 Highlights
- A housing scheme for middle class is to be launched targeting rented houses, slums, chawls, and unauthorized colonies.
- For FY2025, the government has set aside around Rs 80,000 crore for the Pradhan Mantri Awas Yojna (PMAY).
- The announcement of the housing scheme 2024 budget is in line with the ‘Housing for All’ mission which includes the ongoing PMAY (Urban) and PMAY (Gramin).
- The plan aims to construct an additional 2 crore houses by the year 2029, once the PMAY (G) scheme achieves its target of 3 crore houses, which is imminent.
- Demand for residential housing is witnessing growth due to the rising number of families.
- The government has allocated Rs 54.5 crore for PMAY (G), representing a significant 70% increase from last year’s revised estimates.On the other hand, with an approximately 19% hike, the allocation for PMAY (U) for FY2024-25 is nearly ₹26.1 crore.
- An initiative for rooftop solarization is proposed that could cut expenses by a large figure as predicted by the budget 2024 highlights. The goal is to give one crore homes 300 free units of electricity each month.
- The budget for urban rejuvenation and smart cities mission decreased by 21%, from ₹13,200 crore in 2023-2024 to ₹10,400 crore in 2024-2025.
- The allocation for the Swachh Bharat Mission increased from ₹2,550 crore to ₹5,000 crore.
- Metro Projects received a 9% boost in funding, with ₹19,508 crore in 2023-2024 rising to ₹21,336 crore in 2024-2025.
The Interim Budget highlights 2024 reflects the government’s optimism amid upcoming elections. Fuelled by steady local demand and investments, coupled with ongoing reforms, the government is confident in India’s continuous growth. They expect the GDP to cross Rs 50 crore in 3 years and reach Rs 70 crore by 2030, despite global challenges.
What Ajay Chowdhary, the managing director of Manafuli Group has to say?
“We are witnessing significant changes in housing as a result of a new initiative that assists middle-class people in purchasing homes. The budget 2024 highlights aim to help people. These efforts demonstrate the importance of having a home for everyone, as well as how new building ideas may improve our towns.
We have kept the factors of the budget 2024 highlights in mind – affordability, accessibility, availability, and creating a community. Concerning the same, Manafuli Developers is developing Amtala City which will provide all the modern infrastructure and amenities for the middle-income group to build their Dream Home.”
Sharing views on the infrastructural and sustainable strategies, Ajay Chowdhary says, “The focus on upgrading infrastructure and connecting the country will benefit not only the metro cities but also tier 2 & 3 cities. The budget promises strong growth in the upcoming years, with a focus on green energy and infrastructure development. The homes under the solarization scheme can result in significant savings of up to Rs 18,000 annually. Manafuli Group is following its footprint to avail rooftop solarization in its projects.”
He further added, “The government’s goal is to boost living standards, stimulate the real estate sector, and support related industries, such as the ones dealing with cement, steel, and other raw materials by promoting affordable home ownership.”
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