Press Information Bureau
Government of India
Ministry of Housing and Urban Poverty Alleviation
20-February-2014 15:20 IST
Launching of Ray as A Centrally Sponsored Scheme


The Government of India has launched Rajiv Awas Yojana (RAY) as Centrally Sponsored Scheme on 3.9.2013 for the period of 2013-2022. This was stated by Dr. (Ms.) Girija Vyas, Minister of Housing & Urban Poverty Alleviation in a reply to a question in the Rajya Sabha today.

Giving details , Dr Vyas said that the Scheme has provision to cover all slums within a city, whether notified or non-notified (including identified and recognized), whether on lands belonging to Central Government or its Undertakings, Autonomous bodies created under the Act of Parliament, State Government or its Undertakings, Urban Local Bodies or any other public agency and private sector.  The selection of cities/UAs under the scheme is to be made by the States in consultation with the Centre. Under the scheme, Central government provides assistance of 50% of the project cost for Cities/ UAs with Population more than 5 lakhs, 75% for Cities/ UAs having population less than 5 lakhs. For North-Eastern Region and special category States (Jammu & Kashmir, Himachal Pradesh & Uttarakhand) central share will be 80%.  There is an upper ceiling of ` 5 lakh per Dwelling Unit (DU) for cities with population more than 5 lakhs. This ceiling is ` 4 lakhs per DU for smaller cities with population less than 5 lakhs. In North East (NE) and special category States, upper ceiling is ` 5 lakh per DU irrespective of population of the city. Upper ceilings, as above, also include cost of civic infrastructure and social amenities, the Minister added.


The Minister said that the Major objectives of RAY are as under:


        i.            Improving and provisioning of housing, basic civic infrastructure and social amenities in intervened slums.

      ii.            Enabling reforms to address some of the causes leading to creation of slums.

    iii.            Facilitating a supportive environment for expanding institutional credit linkages for the urban poor.

    iv.            Institutionalizing mechanisms for prevention of slums including creation of affordable housing stock.

      v.            Strengthening institutional and human resource capacities at the Municipal, City and State levels through comprehensive capacity building and strengthening of resource networks.

    vi.            Empowering community by ensuring their participation at every stage of decision making through strengthening and nurturing Slum Dwellers’ Association/Federations.