The Finance minister has pledged Rs.10,000 crore to complete unfinished apartments. Would that be enough?

If you read the gist of the announcements made by the finance minister, Rs.10,000 crore will be the contribution made by the government and an equal amount will be infused by the LIC and the NIIF. That would make the corpus Rs.20,000 crore. If you look at the total unfinished projects in India, research analysts have estimated that there are nearly 13.8 to 14 lakh units that are subject to completion in the next 2 years and of these nearly 7.5 lakh units are stressed units, which require support.

There are two additional conditions for the support being made available. Firstly, it has to be a low cost apartment catering to the middle class at large with a cost not exceeding Rs.2500 per square feet. The second condition pertains to the fact that companies that are already referred to NCLT or have already been declared as NPA by the banks will not be eligible for this last mile funding. IF you remove these units also from the definition, you could end up with around 7 lakh such units and the government would be in a position to fund and complete at least 20% of them. That in itself will be a very big achievement and the government can always enhance its contribution at a later stage if that is required and the initiative is successful.