From UPSC perspective, the following things are important :
Prelims level : SWAMIH Investment Fund
Mains level : Not Much
In order to give relief to homebuyers of stalled projects, a Special Window for Completion of Affordable and Mid-Income Housing (SWAMIH investment fund) has been created for funding stalled projects.
Try this MCQ:
Q.The SWAMIH Fund recently seen in news is related to:
(a) Higher Education (b) MSMEs (c) Housing (d) Highways
SWAMIH Investment Fund
- SWAMIH investment fund is an alternative investment fund which aims to provide last-mile funding to the stressed affordable and middle-income housing projects in the country.
- It is expected to fund the projects which are net-worth positive, including those projects that have been declared as NPAs or are pending proceedings before the National Company Law Tribunal under the IBC.
Why need such funds?
- Several real estate projects have suffered due to a combined effect of two changes in the real estate sector.
- On one hand, incremental launches and slow sales have increased unsold inventory in each project.
- While the effect has then got compounded by the fact that consumer preference is now towards completed projects rather than under-construction projects.
- This preference has developed as consumers are largely avoiding taking project completion risk and instead are more inclined to completed projects.