Government of India invest Rs 5000 crore in the SWAMIH fund to complete housing projects
Tags: Economy/Finance Government Schemes
The government of India has invested an additional Rs 5,000 crore into the SWAMIH Invest Fund-I to help the stressed realty investment platform achieve its final close at Rs 15,530 crore.
Special Window for Affordable and Mid-Income (SWAMIH)
In November 2019, the Union Finance Ministry announced creation of a Special Window for Affordable and Mid-Income Housing (SWAMIH) to provide debt financing for the completion of stressed, brownfield and residential projects registered with regulatory bodies that fall in the affordable, mid-income housing category.
The corpus of the Fund is Rs 12,500 crore with a green shoe option of Rs 12,500 crore. Green Shoe options means that if required an additional Rs 12,500 crore fund will be raised for the SWAMIH scheme.
The Sponsor of the Fund is the Secretary, Department of Economic Affairs, Ministry of Finance, and Government of India on behalf of the Government of India.
The Investment Manager of the Fund is SBICAP Ventures Ltd which is owned by State Bank of India.
The major investors in the fund are Life Insurance Corporation of India (LIC), HDFC, and other major Public Sector Banks.
So far, the fund has given final approvals to 127 projects which will in turn complete over 79,000 homes
Stressed project means that the company which started the residential project is unable to complete the project due to financial problems.
Brown field projects means that no new houses will be built but the existing housing project which is either finished or under construction will be finished.
Please Rate this article, so that we can improve the quality for you -