- The Interest Subsidy Scheme for Housing the Urban Poor (ISHUP), launched in 2008 to provide an interest subsidy of five per cent on a loan amount of Rs.100,000 to the economically weaker section and lower income group, has so far benefited only 7,805 people as against the 2012 target of 310,000.
- Progress on the flagship project, the Jawaharlal Nehru National Urban Renewal Mission, which has a provision of Rs.50,000 crore for the period 2005-2012, is no better. Only about 30 per cent of houses sanctioned for the poor under this scheme have been built.
- poor conceptualisation of policies,
- procedural inefficiency,
- ineffective construction practices
- ISHUP has failed to deliver because it is conceptually flawed.
- Policymakers assumed that the poor had access to land and needed only financial support to build their houses.
- As a result, the focus was on making credit easily available
- But reality is both land and capital are not available with urban poor
- If the demand for social housing is to be met, in addition to rectifying policies, construction practices and performance regimes need to be greatly improved
- State-level housing boards must improve their capacity in order to fully utilise the available funds and deliver more houses.
- They formed productive alliances with the construction industry and adopted modern methods that increased the production of homes four-fold
- It is only by adopting such innovative practices and radically changing the approach to the provision of social housing can the vision of making cities slum-free be realised