Union Budget 2024-25: Finance Minister Unveils Ambitious Plans for Housing, Urban Development, and Infrastructure

New Delhi:  Union Minister for Finance and Corporate Affairs, Smt. Nirmala Sitharaman, presented the Union Budget 2024-25 in Parliament today, emphasizing the government’s commitment to strong development and all-round prosperity. “The people have given a unique opportunity to our government to take the country on the path of strong development and all-round prosperity,” she stated.

Major Housing Initiatives

Highlighting the PM Awas Yojana, Smt. Sitharaman announced the construction of three crore additional houses in rural and urban areas. The budget allocates significant funds to this initiative, with a focus on the PM Awas Yojana Urban 2.0. This program aims to address the housing needs of one crore urban poor and middle-class families with an investment of ₹10 lakh crore, including central assistance of ₹2.2 lakh crore over the next five years. The scheme will also provide interest subsidies to facilitate affordable housing loans.

Rental Housing and Urban Development

Smt. Sitharaman outlined plans to enhance rental housing options, particularly for industrial workers. “Rental housing with dormitory-type accommodation for industrial workers will be facilitated in PPP mode with VGF support and commitment from anchor industries,” she announced. The budget includes measures to establish efficient and transparent rental housing markets.

The Finance Minister also unveiled a vision for developing ‘Cities as Growth Hubs’ through economic and transit planning, along with orderly development of peri-urban areas using town planning schemes. The government aims to create enabling policies, market-based mechanisms, and regulatory frameworks to support brownfield redevelopment of existing cities.

Infrastructure and Water Management

The budget proposes Transit Oriented Development plans for 14 large cities with populations exceeding 30 lakh, accompanied by detailed implementation and financing strategies. In collaboration with state governments and multilateral development banks, the Union Government will promote water supply, sewage treatment, and solid waste management projects in 100 large cities. These projects will also explore using treated water for irrigation and refilling nearby tanks.

Economic Support and Stamp Duty Reforms

The Finance Minister announced a new scheme to develop 100 weekly ‘haats’ or street food hubs in select cities annually over the next five years, building on the success of the PM SVANidhi Scheme. Additionally, Smt. Sitharaman urged states to reduce high stamp duties and consider further reductions for properties purchased by women. “This reform will be made an essential component of urban development schemes,” she added.

The Union Budget 2024-25 reflects the government’s commitment to comprehensive urban development, affordable housing, and infrastructure improvement, aiming to drive economic growth and enhance the quality of life for citizens across the country.