PM Awas Yojana: Cooperators demand inclusion

Several Chairmen and CEOs of Urban Cooperative Banks have demanded that urban cooperative banks be made part of Pradhan Mantri Awas Yojana as just a handful (24) out of 1574 UCBs figure in the list so far.

Sunil Sathe, CEO of Thane based TJSB Sahakari Bank said “As we are already registered with HUDCO, automatically our bank is involved with the scheme but I urge the government to involve all UCBs in the scheme as UCBs are working at the grassroots level.”

Cooperative Banks have a strong network in rural areas and these banks can play an important role in making the scheme a success. The UCBs not linked with the scheme may also take initiative in this regard, Sathe added.

Apna Sahakari Bank, Chief Executive, P Kondukar said “We had applied at the initial stage but we could not succeed in getting associated with the scheme but we will appreciate the government making us nodal agencies in the days to come.

“We Urban Cooperative Banks can successfully implement the scheme as our reach is broad and at the basic level. Most of the people connected with us are poor who don’t have their own houses. Our involvement with the scheme will have far reaching consequences”, said Thimmaiah Shetty Chairman Karnataka based Manavi Pattana Sahakari Bank.

As many as 54,000 homebuyers have so far availed the interest subsidy under the Credit Linked Subsidy Scheme (CLSS), according to senior officials from the ministry of housing and urban affairs. Of these, about 2,300 are from the middle income group (MIG), they said recently.

Meanwhile, the apex body of Urban Cooperative Banks and Credit Society NAFCUB has written a letter to secretary of Ministry of Housing & Poverty Alleviation. UCBs amongst others are one of the Primary Leading Institutions under the Pradhan Mantri Awas Yozana (PMAY) – Credit Linked Subsidy Scheme (CLSS) to provide credit cater to the housing needs of Economical Weaker Section, Lower Income Group, Middle Income Group of the society, according to letter.

“There are around 1574 UCBs out of which 54 are Scheduled UCB meeting credit needs of various segments of housing, trade and industry. There are only 24 in members that have entered into MoUs with Central Nodal Agencies under the above scheme we request you to Kindly instruct Central Nodal Agencies to consider the applications of UCBs and permit them to enter into MoUs with CNAs under Pradhan Mantri Awas Yojana”, reads the letter.