Urban Boom: Rs 1 Lakh Crore Fund to Transform Cities

The Union Finance Minister, Nirmala Sitharaman, announced an Urban Challenge Fund of Rs 1 lakh crore to enhance urban infrastructure. The fund will cover part of the project costs and support affordable housing. SWAMIH Fund 2 and PM SVANidhi scheme updates aim to boost housing and aid street vendors.

The Union Finance Minister, Nirmala Sitharaman, has unveiled a significant Urban Challenge Fund worth Rs 1 lakh crore, aimed at transforming cities into growth hubs. Announced during the Union Budget 2025-26, this fund will finance urban infrastructure projects, with a stipulation that project costs are shared with bonds, loans, and PPPs.

Sitharaman also highlighted the success of the Special Window for Affordable and Mid-Income Housing (SWAMIH), announcing a new SWAMIH Fund 2. This initiative will provide Rs 15,000 crore for completing housing projects and delivering over one lakh units to homebuyers affected by stressed housing projects.

Additionally, the revamped PM Street Vendor's AtmaNirbhar Nidhi (PM SVANidhi) is set to enhance financial support for street vendors. With increased loan limits and UPI-linked credit cards, the program aims to alleviate the financial burdens faced by 68 lakh street vendors across the nation.

(With inputs from agencies.)