Today, the Retirement fund body EPFO will sign an agreement with the Housing and Urban Development Corp (HUDCO) to enable members of its housing scheme to avail subsidy and interest help under the central government’s ambitious scheme Pradhan Mantri Awas Yojana (PMAY).
Under EPFO housing scheme, the Employees Provident Fund Organisation helps its subscribers to withdraw up to 90% of their EPF deposits to purchase houses.
According to an Official Statement, as part of the central government’s mission of providing housing for all by 2022, the EPFO is going to sign a MoU with HUDCO today.
As per the statement, the Memorandum of Understanding will be signed in the presence of Labour Minister Bandaru Dattatreya and Housing & Urban Poverty Alleviation Minister M Venkaiah Naidu.
The Central Provident Fund Commissioner of EPFO V P Joy informed that the agreement is regarding coverage of EPFO subscribers under the Central government’s ambitious scheme ‘PM Awas Yojana (PMAY)’ by providing them various benefits like cheaper loans for buying homes.
The main motto of the labor ministry is to benefit at least 10 lakh subscribers in the next two years by allowing them to use 90% of EPF accumulations to make down payments to buy houses and use their accounts for paying EMIs of home loans.
According to the sources, the Housing and Urban Development Corp (HUDCO) is a nodal agency for implementation of credit linked subsidy scheme for middle and lower-income groups and the economically weaker section under the PMAY.
News Source: http://indiatoday.intoday.in/story/epfo-hudco-to-ink-pact-for-housing-subsidy-under-pmay/1/984418.html