In her Budget 2023-24 speech, Finance Minister Nirmala Sitharaman announced that the allocation to PM Awas Yojana has increased by 66 percent to Rs 79,000 crore.
Following this, stocks related to the housing sector like Ashiana Housing, HDFC, Home First Finance, Marathon Nextgen Realty, Macrotech Developers and HDIL gained over 2-4 percent.
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Budget 2022 had allotted Rs 48,000 crore for the completion of 80 lakh houses under PMAY.
"The increase in outlay towards PMAY resonates with the government's committed mission to meeting the housing shortage in the country. This will result in increased investment and heightened activity in the construction sector; opportunities galore for contractors," Vimal Nadar, Head of Research, Colliers India said.
The Pradhan Mantri Awas Yojana (Urban) Mission was launched on June 25, 2015, intending to provide housing for all in urban areas. The mission provides Central assistance to the implementing agencies through states/union territories (UTs) and central nodal agencies for providing houses to all eligible families/ beneficiaries.
“As our nation marches towards Amrit Kaal, the intended infusion of Rs 79,000 crore towards affordable housing is a positive move. Its’s a win-win situation fortifying our nations rural infrastructure and adding power to lower and middle income groups," Girish Kousgi, MD & CEO, PNB Housing Finance said.