A Primer on Deepening Access to Low-Income Housing Finance in India:
Landscape Analysis & Recommendations
Over the past decade, government support — largely through Pradhan Mantri Awas Yojana, or PMAY, India’s flagship public housing mission — has been instrumental in helping reduce the housing shortage among low-income households. Under PMAY, low-income households in the process of construction or upgrading their homes are eligible for financial assistance. However, the full potential of self-built housing can only be realized by expanding access to low-income housing finance at a national scale.
A new report from Habitat for Humanity’s Terwilliger Center for Innovation in Shelter, developed with Sa-Dhan, an association of impact finance institutions in the microfinance sector, maps the financing landscape and highlights persistent gaps on both the demand and supply sides.
Read the full report
Drawing on existing research, interviews, roundtables and sector consultations, the report serves as a primer on addressing this issue. Key findings include:
- Demand for low-income housing finance remains underserved, particularly when it comes to smaller loans between USD 1,100 and USD 11,300.
- Sufficient funds exist within the financial system that can be optimally allocated to meet this need.
The report offers actionable recommendations for policymakers and financial institutions to expand financing access and advance India’s Housing for All mission.
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El Centro Terwilliger de Innovación en Vivienda de Hábitat, trabaja con los distintos actores del mercado de la vivienda para que se ofrezcan más y mejores servicios, productos y financiamiento innovador que responda a la real necesidad.
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We address both the supply and demand sides of the market when we advise firms who are considering introducing housing products or services.