In order to give relief to homebuyers of stalled projects, a Special Window for Completion of Affordable and Mid-Income Housing (SWAMIH investment fund) has been created for funding stalled projects that are net-worth positive.
Features of SWAMIH Investment Fund
- It includes those projects that have been declared as Non-Performing Assets (NPAs) or are pending proceedings before the National Company Law Tribunal under the Insolvency and Bankruptcy Code.
- SWAMIH investment fund will provide last mile funding to the stressed affordable and middle-income housing projects in the country,
- SBICAP Ventures would be the investment manager to the first alternate investment fund (AIF) set-up under this special window.
- The fund has a target corpus of INR 12,500cr with a greenshoe option of INR 12,500cr.
- The sponsor of the fund is the Secretary, Department of Economic Affairs, Ministry of Finance, Government of India on behalf of the Government of India.
- The fund has so far approved 81 projects with an investment of Rs 8,767 crore that will enable the completion of almost 60,000 homes across India.
- Activation of these construction sites by the special window would provide employment opportunities for various skilled and semi-skilled labourers.
- Control mechanism adopted by SWAMIH to ensure transparency
. Project accounts operated by the fund
. Direct payment to contractors
. Stipulation of minimum selling price
. Project monitoring and control by virtual Chief Financial Officer
Source: PIB & Economic Times
