Govt approves Rs 25,000 Cr fund to revive stalled housing projects

Govt approved Rs 25,000 Cr fund for stalled housing projects will be registered with SEBI. It will be created under the category of Alternative Investment Fund (AIF).

Created On: Nov 7, 2019 08:49 IST
FM Nirmala Sitharaman
FM Nirmala Sitharaman

The government has approved a fund of Rs 25,000 crore for the reviving of stalled housing projects across the country. Finance Minister Nirmala Sitharaman informed in a press conference on November 6, 2019. The cabinet has also approved making special provisions to provide priority loans to projects of affordable houses.

Nirmala Sitharaman informed in a press conference that the government will provide 10,000 crore rupees in this Alternative Investment Fund (AIF). SBI and LIC will provide the remaining Rs 15,000 crore.

The Finance Minister said that 1,600 housing projects of 4.58 lakh houses across the country are stuck. Funds will be provided from AIF for these projects. This step has been taken to provide employment opportunities and to increase demand in cement, iron and steel industry.

Also Read | RBI issues new compensation guidelines for private, foreign bank CEOs

Key Highlights
• Nirmala Sitharaman said that according to an estimate, around 1600 housing projects have stalled in many cities like Mumbai, Delhi, Chennai, Bengaluru, Ahmedabad. 
• The government is creating a special fund to boost the housing sector, with the government putting in 10,000 crores. This fund will be a total of 25,000 crores.
• This fund will be created under the category of Alternative Investment Fund (AIF) and it will be registered with SEBI.
• The Finance Minister has also clarified that if a project of a unit has been started and is not completed, it will get support, but another project of the same company which has not been started, will not get the benefit.

What is Alternative Investment Fund?
It means any fund incorporated or established in India which is a privately collective investment vehicle. Alternative Investment Fund or AIF collects funds from certain investors for investing it in accordance with a defined investment policy for the benefit of its investors. The investors of funds can be either Indian or foreigners. However, it doesn’t include funds covered under SEBI (Collective Investment Schemes) Regulations, 1999, SEBI (Mutual Funds) Regulations, 1996 or any other regulations of the Board to regulate fund management activities.

What is Angel Fund?
Angel Fund is basically a category of Venture Capital Fund (VCF) comes under AIF. It raises funds from angel investors. They invest their money in accordance with the provisions of Chapter III-A of AIF Regulations.

Also Read | NGT recommends stipend for daily-wage labourers after construction ban 

Also Read | RuPAY card: List of countries where you can use it!

Take Weekly Tests on app for exam prep and compete with others. Download Current Affairs and GK app

एग्जाम की तैयारी के लिए ऐप पर वीकली टेस्ट लें और दूसरों के साथ प्रतिस्पर्धा करें। डाउनलोड करें करेंट अफेयर्स ऐप


Related Stories

Comment (0)

Post Comment

0 + 9 =
Disclaimer: Comments will be moderated by Jagranjosh editorial team. Comments that are abusive, personal, incendiary or irrelevant will not be published. Please use a genuine email ID and provide your name, to avoid rejection.

    Monthly Current Affairs PDF

    • Current Affairs PDF November 2021
    • Current Affairs PDF October 2021
    • Current Affairs PDF September 2021
    • Current Affairs PDF August 2021
    • Current Affairs PDF July 2021
    • Current Affairs PDF June 2021
    View all

    Monthly Current Affairs Quiz PDF

    • Current Affairs Quiz PDF November 2021
    • Current Affairs Quiz PDF October 2021
    • Current Affairs Quiz PDF September 2021
    • Current Affairs Quiz PDF August 2021
    • Current Affairs Quiz PDF July 2021
    • Current Affairs Quiz PDF June 2021
    View all