The Chief Minister of Odisha announced a new initiative called Mo Ghara (My Home), which the state budget will fully fund. In this article, you can read more on the Mo Ghara Yojana of the Odisha state government.

An Overview of the News

• The scheme provides credit-linked financial assistance to economically and socially weaker families. The state budget fully funds the scheme.
• Applications for the loan will open from June 15, 2023. The scheme includes families who were previously excluded from the housing schemes.
• Beneficiaries can avail housing loans up to Rs.3 lakh.
• The state government waives off registration fee, stamp duty and processing fee for bank loan approval.
• The ‘Mo Ghara’ housing scheme is in addition to the Biju Pakka Ghar Yojana (BPGY) and Pradhan Mantri Awas Yojana-Gramin.

Read also:- STATE UNDER ARTICLE 12 OF THE CONSTITUTION OF INDIA

Mo Ghara Initiative

Mo Ghara (My Home) is a credit-linked housing scheme for the rural poor which aims to convert all the kutcha houses into pucca ones.

• The state budget will fund the scheme, and it will cost Rs 2,150 crore over a period of two years.
• The new scheme aims to cover families that the existing PMAY-G scheme does not cover due to stringent eligibility criteria or insufficient allocation.
• The scheme will also help those who had received housing assistance of a smaller amount in the past and now want to upgrade or expand their houses.
• The beneficiary can avail up to Rs 3 lakh under the Mo Ghara scheme, and they can repay it in ten years through instalments, excluding a one-year moratorium period.
• The capital subsidy to the loan account will be released by the state government after the completion of the house.
• There are four slabs of loan amount under the scheme. The rates of subsidy are:
• Rs 30,000 for a Rs 1 lakh loan
• Rs 45,000 for Rs 1.5 lakh loan
• Rs 60,000 for a loan amount of Rs 2 lakh and Rs 3 lakh      
• For the SC/ST category and for the differently-abled, a subsidy of an additional Rs 10,000 will be provided across the slab.  
• The release of capital subsidies to the loan accounts of the beneficiaries will make the EMI repayment more affordable.

The eligibility criteria under the scheme are:

• Family living in a kutcha house or one pucca room with a concrete roof  
• Families that have not availed of any government housing assistance  
• Families that have availed assistance of below Rs 70,000 in the past with a monthly income below Rs 25,000.     

Read also:- 2nd G20 Culture Group (CWG) Meeting in Odisha