Khattar Unveils Major Initiatives to Boost Affordable Housing and Revive Stalled Projects

Union Housing and Urban Affairs Minister Manohar Lal Khattar announced several major initiatives to boost affordable housing at the NAREDCO Conclave 2026 on Saturday. These include plans to set up charitable institutions for funding affordable housing, creating a dedicated fund for stalled pre-RERA projects, and developing 700-750 slum settlements around NCT.

The proposals aim to enhance affordable housing access and support troubled real estate projects. The Minister highlighted the reluctance of banks to fund affordable housing projects. To address this issue, he proposed establishing charitable institutions that could collect Corporate Social Responsibility (CSR) funds to help lower-income groups buy homes. This would particularly benefit those in the Low-Income Group (LIG) and Economically Weaker Sections (EWS) who struggle to secure traditional financing.

Addressing stalled housing projects, Khattar showed openness to creating a special fund for pre-Real Estate Regulatory Authority (RERA) developments. This would help both builders and buyers reach favorable settlements. NAREDCO has suggested increasing the size of the SWAMIH (Sonbazari Welfare and Affordable Housing) fund to support such projects.

On land availability, the union minister explained that while cheaper land couldn't be directly provided for affordable housing, cross-subsidisation could be explored if stakeholders agree. Joint Secretary Kuldip Narayan suggested utilizing empty buildings in city centers, which could be identified through Google Maps, for new housing projects.

NAREDCO Chairman Niranjan Hiranandani acknowledged the government's efforts in prioritizing housing but stressed the need for more action to boost the sector's contribution by 2047. He advocated for quick policy decisions on rental housing projects, similar to models in other countries, to help those unable to purchase homes. The event also saw the release of a KPMG-NAREDCO knowledge report outlining a roadmap for real estate sector development under 'Viksit Bharat.'

These initiatives are expected to have a significant impact on the housing sector, making it more accessible and sustainable for all segments of society.