Hudco's PMAY Loan Book To Go Up To Rs 1 Lakh Crore In Three-To-Four Years, Says Chairman Sanjay Kulshrestha

Housing and Urban Development Corporation Ltd. is aiming to increase its assets under management under the Pradhan Mantri Awas Yojana to Rs 1.5 lakh crore by 2030, its Chairman Sanjay Kulshrestha said.

The housing finance PSU extended loans of around Rs 43,000 crore under the first leg of PMAY, Kulshrestha told NDTV Profit in a televised interview.

“Under PMAY 1.0, our AUM was Rs 43,000 crore. This will go to Rs 1 lakh crore within three-to-four years,” the Hudco chairman said.

The government announced the Pradhan Mantri Awas Yojana-Urban 2.0 Scheme in August, with an investment of Rs 10 lakh crore. The scheme intends to address the housing needs of one crore families.

Speaking about the scheme, Kulshrestha highlighted that HUDCO was an experienced lender and had been the consultant for PMAY 1.0.

He said HUDCO had been tasked with translating the government's vision into reality.

The top executive added that most of the AUM disbursement under PMAY 2.0 would be done upfront.

“Within one or two years, around 60% of disbursement will go, and the balance will be during the third and fourth years,” he explained.

The chairman expected to maintain the PMAY margins of 1.8% under the second leg of the scheme.

HUDCO plans to take its current loan book of Rs 1 lakh crore to Rs 3 lakh crore by March 2030. Kulshrestha was confident they would comfortably achieve the target.

“Currently, our loan book is only Rs 1 lakh crore. We are targeting Rs 1.2 lakh crore this year, and by the next fiscal, we are targeting Rs 1.5 lakh crore,” he said.

“So to reach Rs 3 lakh crore loan book by 2030, we may have to revise our target upwards mid-course,” Kulshrestha added.

He highlighted that HUDCO was not just related to PMAY but was into other projects as well, ensuring unhindered growth for the company.