Capex push bodes well for housing

The Centre's post-covid push to Capex to put the ailing economy back on rails holds great promise for the housing sector that has been showing sharp recovery over the last several months.?

The Centre's Capex budget has increased by Rs 3.24 trillion in two years. The budget estimate for FY'23 is Rs 7.5 trillion, a 24.4 percent increase over FY'22 having a revised estimate of Rs 6.03 trillion.

With the record increase in Capex, the central government has put the focus firmly?on housing and infrastructure In FY'22, the biggest gainer has been the Ministry of Housing & Urban Affairs as its capital outlay jumped 152% to Rs 25946 crore as against Rs 10304 crore in FY'21. This was meant to provide a fillip to PMAY (U) and Housing for All Mission of the central government. The Centre had allocated Rs 48000 crore to PMAY (urban and rural) for FY'23. Out of this Rs 28000 crore is allocated for PMAY -Urban while the rest Rs 20000 crore is for PMAY-Rural. The rural scheme has been?extended by two years to 2024 and the urban one is also likely to be extended on similar lines.

Along with the increased allocation for PMAY, the allocation of Rs 60000 crore to provide tap water to 3.8 crores in FY'23, will not only boost housing, particularly affordable housing but also improve the quality of living.?