New Delhi: Union government should try to merge various policies at a point to address housing shortage issue in India, an ASSOCHAM-JLL joint study has said.
“The Pradhan Mantri Jan Dhan Yojana (PMJDY), which mainly targets lower-end of pyramid, should be used to provide housing finance to the account owner, thereby directly catering to the targeted segment,” said the study.
Economically weaker section (EWS) and low-income group (LIG) categories are generally not given access to loans because of many reasons like — lack of proper documentation, higher credit and default risk, unavailability of guarantor and others, it noted.
Besides, the study said income of this category is either uneven throughout the year or is below the ‘viable threshold,’ to ensure repayment of the loan. Absence of a developed market for financing home buying results into lacklustre supply because developers of affordable housing face a slowdown in absorption of constructed units, the study highlighted.
