Union Minister for Finance Nirmala Sitharaman has stated that the Real Estate Fund – ‘Special Window for Affordable and Mid-Income Housing (SWAMIH) Investment Fund I’ will benefit 1.16 lakh home loan borrowers, whose housing projects were stalled due to funding issues.
i.On May 13, 2021, SWAMIH Fund Completed its 1st Residential Project.
- The residential project – ‘Rivali Park Wintergreens’ is located in Mumbai, Maharashtra.
- It was also the 1st housing project in India to receive funding under the SWAMIH Fund.
- It was developed by CCI Projects Pvt Ltd (CCIPPL), an associate company of Cable Corporation of India Ltd.
SWAMIH Investment Fund I
Announced in 2019, It aims to provide last-mile funding to the stressed affordable and middle-income housing projects in India. SWAMIH is a category 2 Alternate Investment Fund (AIF).
- It is a INR 25, 000 Crore fund having 14 investors, with the Government of India holding 50% in the fund. Life Insurance Corporation of India (LIC), State Bank of India (SBI) each having 10%, and the rest with public and private sector players.
- Investment manager of the fund – SBICAP Ventures Ltd (SVL), while the Department of Economic Affairs under the Ministry of Finance administers the scheme.
- Under the fund, final approval has been given to 72 projects (containing 44, 100 homes) worth INR 6, 995 Crore, while preliminary approval has been given for 132 projects (72, 500 homes) worth INR 11, 581 Crores.
- Houses which don’t exceed 200 square metre of RERA (Real Estate (Regulation & Development)Act, 2016) carpet area.
- Houses priced less than INR 1 Crore in India (except Chennai, Mumbai, Kolkata, Pune, Hyderabad, Bengaluru & Ahmedabad).
Real Estate Sector
The Real Estate Sector plays an important role in India’s economy.
- In 2019-20, the contribution of Real Estate to Indian economy was close to USD 200 Billion, it is expected that the sector’s contribution to the economy would be around USD 1 Trillion by 2030.
- The contribution of the Real Estate sector to India’s GDP is expected to be 13% by 2025.
- Presently Real Estate Sector is contributing 6-7% to the India’s total Gross Domestic Product (GDP).
- It is the 2nd largest employment generating sector in India (after the Agriculture sector) providing jobs to 5 Crore people.
- FDI in Real Estate Sector – 100%.
Recent Related News:
i.On July 07, 2020, According to the 11th edition of the ‘Global Real Estate Transparency Index 2020’, released by US based property consultant Jones Lang LaSalle’s (JLL), India has improved by one place to 34th with a total score of 2.69 under ‘semi-transparent’ zone.
About Ministry of Finance
Union Minister – Nirmala Sitharaman (Rajya Sabha – Karnataka)
Minister of State – Anurag Singh Thakur (Lok Sabha – Hamirpur, Himachal Pradesh)