According to the 2011 census, India is home to 1.21 billion people with a population growth rate of 1 percent in 2019, as notified by the World Bank. Naturally, having access to adequate housing facilities is a necessity and this is where housing schemes in India come into play. Among the most notable was the Indira Gandhi Awas Yojana (IAY), launched under Rajiv Gandhi in 1985 to provide housing for the rural population in India. Initially, the scheme aimed to provide housing to those who belonged to the scheduled caste and scheduled tribe, as well as freed bonded labour, and those who were categorised as below-poverty-line (BPL).

In 2016, the Indira Gandhi Awas Yojana (IAY) was relaunched as Pradhan Mantri Awas Yojana – Gramin, which is a government-sponsored scheme that provides housing for those in India’s rural areas. This scheme is the rural counterpart to Pradhan Mantri Awas Yojana (Urban), which aims to help those from urban areas. The simple motto for both is to provide beneficiaries with the provisions required to build a pucca house with basic amenities and improve the standards of living.

To better understand the Indira Gandhi Awas Yojana or PMAYG, read on.

Features of Pradhan Mantri Awas Yojana – Gramin 

  • Over 1 crore households will be provided pucca houses with a minimum carpet area of 25 sq. m. with basic amenities.
  • The cost-sharing ratio of the unit between the Central and State governments in plain areas will be 60:40, which is Rs. 1.20 lakh of assistance for each unit of the home.
  • The cost-sharing ratio between the Centre and the State government in hilly areas and integrated action plan districts is 90:10 with up to Rs. 1.30 lakh of assistance for each unit.
  • The Centre will bear the entire cost in the Union Territories including the UT Ladakh.
  • 90.95 will be paid to the beneficiary, per day, for unskilled labour from MGNREGS.
  • Socio-Economic and Caste Census (SECC) will be the parameter to identify beneficiaries which will be thereafter verified by the Gram Sabhas.
  • Up to Rs. 12,000 will be provided to construct toilets under Swachh Bharat Mission-Gramin (SBM-G) in collaboration with MGNREGS or other schemes.
  • All payments will be made electronically directly to bank accounts or post office accounts that are linked to the Aadhaar of the beneficiary.

The houses will be built by skilled workers using proper quality local materials under Indira Gandhi Awas Yojana. All the projects will be monitored by the Technical Support Team at the national level to ensure efficiency and quality control.

Benefits of Pradhan Mantri Awas Yojana – Gramin 

A person can avail of the following benefits from PMAYG:

  • Ownership: The ownership can be jointly shared by the husband and the wife. Also, the state government can allot complete ownership to women and differently-abled members of the household.
  • Sustainable: As per the scheme, the houses constructed will be eco-friendly, sustainable and contain all basic amenities.
  • Relies on SECC not BPL:This scheme uses Socio-Economic and Caste Census (SECC) data to determine beneficiaries, and this is more reliable as compared to the BPL list.
  • Transparency: Atechnical support team at the national level ensures transparency and accountability of the Indira Gandhi Awas Yojana(IAY).

Eligibility criteria for Pradhan Mantri Awas Yojana – Gramin 

Only the following entities may qualify for this scheme.

  • Individuals belonging to Scheduled Caste and Scheduled Tribe
  • Ex-defence personal
  • Ex-servicemen or their closest family member
  • Widows
  • Non-SC/ST BPL cardholders
  • Freed bonded labour
  • Minorities

Apart from the above requirements, the applicant has to meet the following criteria.

  • The applicant must not own a pucca house.
  • The applicant must own a house of a maximum of two rooms with a kutcha roof and walls.
  • The applicant must belong to the Economically Weaker Section, Lower Income Group or BPL category.
  • The applicant and his/her family should not have a total annual income that exceeds Rs. 6 lakh.

Documents required for Pradhan Mantri Awas Yojana – Gramin 

  • Aadhaar Card
  • Swachh Bharat Mission (SBM) number of the beneficiary
  • Bank Account details
  • Consent document to use Aadhaar information on behalf of the beneficiary
  • MGNREGA registered beneficiary job card number

This scheme is a welcome move for those looking to build or buy their first home in India and facilitates the basic amenities that everyone should have access to in a home. PMAY has fuelled the construction of millions of homes in rural and urban India in a short period. If you’re in urban India and want to enjoy the interest subsidy benefits of PMAY – U, consider applying for a Home Loan.

Armed with this financial instrument, you get access to much-needed funds easily and without any delays. This loan offers ample sanction, a competitive interest rate and has a flexible tenor that ranges up to 30 years. This helps ensure a comfortable and cost-effective experience all through. To get started, all you have to do is apply online by sharing basic personal details.