Union Finance Minister Nirmala Sitharaman presenting the Union Budget 2024 in the Parliament.
Credit: PTI Photo
Bengaluru: Urban development, earmarked as one of the priorities set for the Union Budget presented on Tuesday, was a combination of old and new proposals and some statements of intent.
Finance Minister Nirmala Sitharaman proposed formulating ‘Transit Oriented Development’ plans for 14 large cities with population above 30 lakh, saying the current policy under the Ministry of Housing and Urban Affairs was seven years old. She also proposed to promote water supply, sewage treatment, and solid waste management projects for 100 large cities.
She reiterated the intent to spend Rs 10 lakh crore under the PM Awas Yojana (PMAY) Urban 2.0 for the housing needs of one crore urban poor and middle-class families. She added, “This will include the central assistance of Rs 2.2 lakh crore in the next five years. A provision of interest subsidy to facilitate loans at affordable rates is also envisaged.”
The Centre will also encourage states to moderate stamp duty rates for all and consider further lowering duties for properties purchased by women.
One announcement that caught popular attention was for bringing in regulations for rented housing for transparency and enhanced availability. As part of the employment boosting initiatives, rental housing with dormitories for industrial workers were announced that will be sought to be built under public-private partnership.
She said, urban land records will be digitised with GIS mapping. All rural lands will be assigned a Unique Land Parcel Identification Number or Bhu-Aadhaar. Other digitisation and registration measures for both rural and urban lands were announced.
The government also envisions a scheme to support the development of 100 weekly ‘haats’ or street food hubs in select cities each year over the next five years.
Shishir Baijal, Chairman and Managing Director, Knight Frank India, said the initiatives taken to boost rental housing mark the beginnings of a much-needed rental housing market in the country.
"The rebate on properties purchased by women with lower stamp duties will encourage more women to invest in real estate," said Amrita Gupta, Director of Manglam Group and Founder President of CREDAI Rajasthan Women's Wing.
Badal Yagnik, CEO of Colliers India, said that the capital outlay of over Rs 11 lakh crore for infrastructure will also boost real estate growth in tier I and II cities.
Pavitra Shankar, Managing Director, Brigade Enterprises said, “The Union Budget 2024 however has not addressed some of the key demands of the real estate sector, including granting of industry status, input tax credit, reduction of GST and single window clearance.”
“The government has marginally increased the capital allocation for the Ministry of Road Transport and Highways (MoRTH) by 3 per cent to Rs 2.72 lakh crore in Financial Year 2025 (FY25) Budget Estimates from Rs 2.65 lakh crore in FY24 Revised Estimates,” observed Vinay Kumar G, Vice President and Sector Head, Corporate Ratings, ICRA Limited.
Union Budget 2024 LIVE | Making a record for any Finance Minister, Nirmala Sitharaman presented her 7th consecutive Union Budget on July 23, 2024 under the Modi 3.0 government. This Budget brought tax relief for the middle class, while focusing on jobs through skilling, incentivising employers. Track the latest coverage, live news, in-depth opinions, and analysis only on Deccan Herald. Also follow us on WhatsApp, LinkedIn, X, Facebook, YouTube, and Instagram.