Pradhan Mantri Awas Yojana (Urban) (PMAY-U) Scheme

GS-2 Mains : Govt. Schemes

Revision Notes 


Question : Discuss the objectives, components, progress, and challenges of the Pradhan Mantri Awas Yojana (Urban) (PMAY-U) scheme, and evaluate its effectiveness in addressing the urban housing shortage in India


  • Urban housing shortage: 3 million (as per recent government estimates).

About PMAY-U Scheme:

  • Launched in 2015 by MoHUA as a flagship Centrally Sponsored Scheme.
  • Aims to provide affordable housing to urban poor (EWS, LIG, MIG).


  • Address urban housing shortage for EWS, LIG, MIG & slum dwellers.
  • Rehabilitate slum dwellers with private developers’ participation.
  • Promote affordable housing through Credit Linked Subsidy Schemes.
  • Provide subsidy for Beneficiary-led Construction (BLC).
  • Ensure ‘pucca house’ for all eligible urban households by 2022.


  • Entire urban area including Statutory Towns, Development Authorities etc.

Components (Four Verticals):

  1. In-situ Slum Redevelopment (ISSR):Slum dweller rehabilitation with private developers.
  2. Affordable Housing in Partnership (AHP):Promotes affordable housing for weaker sections through public-private partnerships.
  3. Credit Linked Subsidy Scheme (CLSS):Provides interest subsidy on housing loans to beneficiaries.
  4. Beneficiary-led Construction (BLC):Provides central assistance for house construction or enhancement.

Additional Initiatives by MoHUA under PMAY:

  • Affordable Rental Housing Complexes (ARHCs):Provides affordable rental housing to urban migrants/poor near workplaces.
  • Global Housing Technology Challenge – India (GHTC-India):Identifies innovative sustainable construction technologies.

Progress of PMAY-U Scheme (as of April 2024):

  • Houses sanctioned: 118.64 lakh
  • Houses grounded: 114.15 lakh
  • Houses completed: 82.16 lakh
  • Central Assistance Committed: ₹2 Lakh Cr
  • Central Assistance Released: ₹163926 Cr
  • Total Investment: ₹8.07 Lakh Cr


  • Housing Shortage:Increased from 1.88 crore in 2012 to 2.9 crore in 2018 (shortfall of 40 lakh from sanctioned & completed houses).
  • Implementation Issues:
    • In-situ Slum Redevelopment (ISSR) has underperformed (only 2,10,552 houses sanctioned).
    • Even if completed by Dec 2024, ISSR would address only 37% of the need.
  • Unmet Targets:PMAY-U has addressed only 25.15% of the shortage (delivered 80 lakh homes).

Future of PMAY Scheme:

  • Extended till Dec 2024 for completion of sanctioned houses.
  • The current housing program (merger of Rajiv Awas Yojana & PMAY) hasn’t achieved ‘Housing for All’ despite significant spending.


  • PMAY-U is a step towards ‘Housing for All’ but faces challenges.
  • The scheme highlights complexities of urban development and the need for better solutions.


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