Hudco loan likely to help Tidco complete 1.17 lakh flats

Vijayawada: Housing and Urban Development Corporation (Hudco) has agreed to extend financial assistance for the completion of housing units taken up by Township Infrastructure Development Corporation (Tidco).
The state govt has estimated that it would require at least Rs.5,070 crore to complete the unfinished works in about 1.17 lakh flats.
After going through the state govt's request, Hudco asked for a detailed project report (DPR) for grant of loan.Hudco asked the state govt to submit the details of the housing units taken up by Tidco. It wanted the details of each project and its progress.
Hudco also wanted the state govt to submit separate proposals for each project so that it could go for field estimation before sanctioning the required loan.
Hudco had refused to grant any additional loan to the state govt in the past after the govt failed to repay the debts. The NDA govt started negotiations with Hudco with the support of the Union ministers. Thanks to the intervention of the Union ministers, Hudco expressed willingness to consider the grant of loan to complete Tidco houses.
Initially, the state govt approached Hudco for a loan of Rs.2000 crore in view of its previous experiences.
Hudco asked the state govt representatives to submit a detailed report so that it could consider granting the entire amount required to complete the Tidco housing units.
The state govt delegation held several rounds of discussions with Hudco officials last fortnight and readied the proposals sought by the agency.
The state govt is hopeful of getting the total amount of Rs.5,070 crore as loan within two months after completion of formalities at the board level. The state govt wanted to complete all the pending housing units taken up under Tidco by 2025 and handover them to beneficiaries.