Over 166.08lakh houses constructed by Hudco
Housing and Urban Development Department Corporation Ltd (HUDCO) is the premiere institution of the country for construction and finance of housing units. In the last 44 years HUDCO has provided affordable houses to people in over 1877 towns and villages. These houses are affordable, technically sound, financially viable, legally acceptable and environmentally appropriate. HUDCO is not only constructing affordable housing but also provide infrastructure in urban and rural areas. HUDCO plays a major role in implementation of National Housing Policy, and under this it covers low cost sanitation, night shelters for footpath dwellers and rural housing. Priority is given to water supply, sewerage and drainage schemes, especially in small and medium towns. HUDCO gives loans to economically weaker sections and low income groups at concessional rate of interest. For the building material technology perhaps it is the only organization in the country to promote. It has sanctioned 655 building centres all over the country to introduce alternative and cost effective building technology. It also provides financial assistance to building material industry and for using agricultural and industrial waste. Design and consultancy is yet another area in housing in which HUDCO has been working to provide architecture, urban planning, urban design and also landscape and heritage planning. HUDCO’s ongoing projects are being carried out throughout the country. Loans are being provided by HUDCO for various housing units is Rs. 2544crore and urban infrastructure is Rs. 4596crores. But despite all these figures two most important areas in housing construction needs a specific attention. First, construction finance and secondly housing loans. Housing constructions in the country is mainly by the private sector company which is up to 80 per cent and the remaining 20 per cent are by the governmental agencies like housing boards and HUDCO, CIDCO and the likes. This sector is cash starved and the banks do not grant loans for constructions finance. It is observed that from last 2 years HUDCO has stopped giving construction finance to private sector companies. Resulting private builders are deprived of construction finance and they have to take loans for their constructions from open market at high rates of interests and thus increasing the high property rates. Secondly HUDCO is not granting loans to home buyers freely. These two areas need special attention by HUDCO for the faster development of houses for the millions.