SWAMIH fundDate: 30 October 2021 Tags: Miscellaneous
The Special Window for Affordable & Mid-Income Housing (SWAMIH) Fund has exited the Rivali Park Wintergreen project in Mumbai.
The government-supported SWAMIH fund was set up to provide last mile funding to stuck affordable housing projects.
Currently, the SWAMIH fund has approved 95 projects by sanctioning more than Rs 9,500 crores to complete over 57,700 homes.
It aims to complete at least 10,000 homes every year and has already finished 1,500 homes in seven projects.
The SWAMIH fund
It is a government-backed fund set up in November 2019 with an estimated fund size of Rs 25,000 crore.
The fund is managed by SBICap Venture and comes under the government scheme to support stuck projects.
The Rivali Park residential project was one of the first projects to receive funding under SWAMIH. The project is developed by CCI Projects Pvt Ltd.
Reasons for the scheme
The government had launched the scheme in 2019 to handle the cash strap situation that the real estate sector faced.
The successful exit of SWAMIH from the project will encourage private investors to kick-start projects which are stuck due to lack of funding.
The restart of project will provide a boost to core industries such as cement and steel. It will unlock the liquidity in the sector.
The SWAMIH sites have the highest worker density with almost 16000+ labourers. This will generate employment in construction sector.
The fund has been able to keep projects running even during Covid times. It has ensured industrial output remains high.
The money earned through the project can be used as investment to support other projects across the country.