Maharashtra cabinet nod for revival of home loan plan for policemen

MUMBAI: The state cabinet on Tuesday approved restarting of the housing loan scheme for police personnel.

The scheme, which allowed policemen to seek loans from banks with the state government paying the difference in interest rate, was discontinued by the Maha Vikas Aghadi government.

Sources said in 2019, when the scheme was discontinued, there were 3,500 applicants but the number of applicants had gone up to over 5,000.

The amount required to be given as loan is around Rs 900 crore, said sources, but budgetary provision was only Rs 80 crore.

“In the supplementary demands last year, the department had sought Rs 700 crore for disbursing the housing loans but was given only Rs 100 crore,” added a source.

At a recent review meeting, deputy CM Devendra Fadnavis directed that the scheme be revived. The government needs to pay approximately Rs 36 crore for the difference in interest payments, said a source.