Lok Sabha Question No. 1872 (UNSTARRED), answered on 2022-07-28
Subject: Loans by HUDCO
Ministry: HOUSING AND URBAN AFFAIRS
Asked by: Gautham Sigamani Pon, Kuldeep Rai Sharma, Subhash Ramrao Bhamre, DNV Senthilkumar. S., Dhanush M Kumar, Supriya Sadanand Sule, C.N. Annadurai, Ganesan Selvam, Sunil Dattatray Tatkare, Manjulata Mandal, Gajanan Chandrakant Kirtikar, Amol Ramsing Kolhe

## GOVERNMENT OF INDIA MINISTRY OF HOUSING AND URBAN AFFAIRS LOK SABHA

UNSTARRED QUESTION NO. 1872

TO BE ANSWERED ON JULY 28, 2022

## LOANS BY HUDCO

NO. 1872.

Dr\_ PON GAUTHAM SIGAMANI:

SHRI KULDEEP RAI SHARMA:

DR\_ SUBHASH RAMRAO BHAMRE:

DR. DNV SENTHILKUMAR S;:

SHRI DHANUSH MS KUMAR:

SHRIMATI SUPRIYA SULE:

SHRI C.N. ANNADURAI:

SHRI SELVAM G.:

SHRI SUNIL DATTATRAY TATKARE:

SHRIMATI MANJULATA MANDAL:

SHRI GAJANAN KIRTIKAR:

DR\_ AMOL RAMSINGH KOLHE:

Will the Minister of HOUSING AND URBAN AFFAIRS be pleased to state:

- (a) and criteria for providing loans by Housing and Urban Development Corporation Limited (HUDCO) for various schemes;
- (b) the number of schemes financed by HUDCO during each of the last
- three years and the current year
- (c) whether some schemes financed by HUDCO have not been
- (d) if So, the details thereof and the steps takenl being taken by the Government to make HUDCO financed schemes more viable for the States
- approved by some State Governments during the said period;
- (e) whether a large number of States have demanded assistance from HUDCO for construction of houses and if the details thereof
- and the response of HUDCO thereto; and
- the other steps taken by the Government to augment the resource base of HUDCO and expand its business during the current fiscal?

## ANSWER THE MINISTER OF STATE IN THE

## MINISTRY OF HOUSING AND URBAN AFFAIRS SHRI KAUSHAL KISHORE)

(a) Housing and Urban Development Corporation (HUDCO)   provides loan assistance for undertaking projects in housing and infrastructure sector as per main objects in Memorandum of Association the agencies based on availability of security and repayment mechanism which may vary depending on the type nature of the project: HUDCO carries out a detailed appraisal of projects to access technical feasibility of the projects, legal eligibility of the borrower and financial viability of the project before financing the project:

(b)The number of schemes along with Ioan amount sanctioned by HUDCO during the last 3 years and current year are as under:

| Financial Year             |   No. of Schemes | Total Ioan amount sanctioned (Rs in crore)   |
|----------------------------|------------------|----------------------------------------------|
| 2019-20                    |               31 | 13,512.38                                    |
| 2020-21                    |               24 | 5,166.29                                     |
| 2021-22                    |               40 | 18,024.58                                    |
| 2022-23 (up to 30.06.2022) |                6 | 463.10                                       |

- (c) Invariably, the schemes for financial assistance are received only after in-principle approval the respective State Governments. HUDCO conveys the sanction to the State Governmentl   agencies through Sanction Letter which encompasses the terms and conditions of Ioan: The said offer of HUDCO is accepted by the State Governmentl agencies and accordingly all  necessary Government approvals are obtained as per sanction conditions before disbursal of Ioan:

(d) Presently, there are around 20 schemes backed by State Government guarantee with a Ioan amount of 13,158.76 crore, where compliance of sanction condition(s) is to be made by the borrowing agencies: yet

With regard to viability of schemes, the State Governments generally undertake revision of tariffl other charges to generate sufficient revenue pool  which could be used to meet costs of 0&M, repayment of HUDCO dues etc: Since HUDCO financing largely caters to social sector projects such as housing to Economically Weaker Section, core utility infrastructure projects like water supply, sewerage, roads, and social infrastructure like hospitals, etc-, which are non-remunerative and have long gestation period, repayments to HUDCO are supported through state budget resources or with other revenue streams of Government-

(e)Yes, State Government   agencies are showing keen interest in seeking financial assistance from HUDCO for implementation of housing scheme under Pradhan Mantri Awas Yojana (Urban IGrameen) and other such programmes primarily benefitting urban rural poorThe details of housing schemes sanctioned during the last 3 years and current year as follows:

| Year                     | No- of Housing Schemes sanctioned   | Total Ioan amount sanctioned (Rs: In crore)- Net   |
|--------------------------|-------------------------------------|----------------------------------------------------|
| 2019-20                  |                                     | 3,224.07                                           |
| 2020-21                  |                                     | 526.90                                             |
| 2021-22                  | 12                                  | 1,746.78                                           |
| 2022-23 (as on 30.06.22) |                                     |                                                    |

Ministry of Housing and Urban Affairs supports HUDCO on various aspects as & when required:

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