Government has put up Rs. 3 billion to provide low cost housing loans in a bid to raise the levels of house ownership in the country.
Specialized housing banks like HDFC and the NDB Housing Bank will lend the government funds.
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rnHousing loans will carry a 10.5 percent annual interest to the end customer.
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The scheme, proposed in the budget for 2003, will kick off in January.rn
rnldblquote Initial capital will be provided by the Treasury. This year the government will make available Rs.
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3000 million to the fund. This fund will be regulated by the Treasury but implemented through HDFC as its authority and commercial banks, dblquote explains Finance Minister K.
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N.Choksy. rnrn