Credit linked subsidy for economically weaker section on the housing loans is provided under :

The correct answer is - Pradhan Mantri Awas Yojna

Key Points

• Pradhan Mantri Awas Yojna (PMAY)
  • The Credit Linked Subsidy Scheme (CLSS) is a key component of PMAY, aimed at providing affordable housing loans to individuals from the Economically Weaker Sections (EWS), Low-Income Groups (LIG), and Middle-Income Groups (MIG).
  • Under this scheme, beneficiaries receive an interest subsidy on housing loans for construction, purchase, or renovation of homes.
  • The subsidy benefits are directly credited to the beneficiary’s housing loan account, reducing the principal liability.
  • The scheme is part of the government's mission to achieve “Housing for All” by 2022.
• Other options are incorrect because:
  • Indira Awas Yojna was a rural housing scheme but is now subsumed under PMAY (Gramin).
  • Rajiv Awas Yojna aimed at slum-free cities but was replaced by PMAY.
  • Atal Mission focuses on urban infrastructure, not housing loans.

Additional Information

• Eligibility Criteria for CLSS under PMAY
  • Beneficiaries must belong to the Economically Weaker Section (income up to ₹3 lakh) or Low-Income Group (income between ₹3–6 lakh).
  • Women ownership is mandatory for EWS/LIG categories.
  • The family must not own a pucca house in their name anywhere in India.
• Interest Subsidy under CLSS
  • EWS/LIG beneficiaries receive a subsidy of 6.5% on loans up to ₹6 lakh for a tenure of 20 years.
  • Middle-Income Groups (MIG-I and MIG-II) also receive subsidies, but the loan amounts and rates differ.
• Implementation of PMAY
  • PMAY has two components: PMAY-Urban (for urban areas) and PMAY-Gramin (for rural areas).
  • Different verticals under PMAY include Credit Linked Subsidy Scheme, Affordable Housing in Partnership, and In-Situ Slum Redevelopment.