An official release from the ADB said the loan was approved on September 3, and will provide access to inclusive, resilient, and sustainable housing for the urban poor in the State.
CHENNAI: The Asian Development Bank (ADB) has cleared a $150-million loan (approximately Rs 1,095 crore) for building housing units in Karaikudi, Thanjavur, Namakkal, Tirunelveli, Dindigul, Salem, Tenkasi, Madurai and Theni, according to officials of the Tamil Nadu Slum Clearance Board. The project will be implemented to relocate about 6,000 households vulnerable to natural hazards in the towns to safer locations.
An official release from the ADB said the loan was approved on September 3, and will provide access to inclusive, resilient, and sustainable housing for the urban poor in the State. The fund will also help the Directorate of Town and Country Planning (DTCP) develop regional plans to map the State’s economic and infrastructure development, including affordable housing, environmental protection, disaster risk management, and gender.
A portion of the ADB’s assistance will be invested by the State government as equity into the TN Shelter Fund to catalyse private sector financing and support investments, mainly in industrial housing and working women’s hostels for low-income and migrant workers. The ADB will provide $1.5 million (nearly Rs 10.95 crore) technical assistance grant to support the capacity building of government agencies responsible for delivering affordable housing and regional planning in TN.
“Tamil Nadu’s housing shortfall accounts for 6.66 per cent of the national deficit, and when mapped against income levels, low-income households bear most of the shortage,” said Ricardo Carlos Barba, ADB Principal Safeguards Specialist for South Asia, in a statement. The aim is to provide vulnerable and disadvantaged households access to inclusive, safe, and affordable housing infrastructure and services, added Barba.
Catering to rapid urbanisation
According to ADB, economic opportunities have increased migration in the State. Thus, the rapid urbanisation and growth in population will require adequate infrastructure and services, including housing