Affordable housing crisis – will Budget 2025-26 turn the tide

Anuj Puri, Chairman – ANAROCK Group

Going by the sagging sales and supply of affordable housing(*) in India over the past few years, it is easy to forget that this segment was once the housing industry’s veritable poster child. Nevertheless, not too long ago, Indian real estate developers took it very seriously, regularly engaging with their architects to design smaller units to contain prices and ensure sales continuity.

This trend peaked when the Union Government put in concerted efforts to promote affordable housing via the ‘Housing for All’ program. In this period, the government announced many attractive incentives for buyers and developers of such housing. The affordable housing story took on an appealingly patriotic ‘nation building’ sheen and even big brand developers got into the fray (albeit at times by creating ‘sister’ brands for it) to not dilute their reputations as ‘lifestyle housing’ creators.

The supply share of this segment was nearly 40% of the total supply in 2018 and 2019. Cities like Pune, Kolkata, Chennai, and NCR were witnessing consistently high supply of such homes, riding on stimuli such as lower GST rates and tax breaks.

The Pandemic Effect

The COVID-19 pandemic profoundly changed these dynamics, and as of today, we cannot say whether this change is temporary or long-term. In any case, as the nation awaits the Union Budget of the Modi 3.0 government, there is no doubt that the stakes for the languishing affordable housing sector are very high. In fact, it is hoped that Budget 2025-26 will be a resuscitating turning point for it.

After the pandemic, housing demand changed considerably. Now, Indians wanted larger and multi-functional homes with a comprehensive spread of lifestyle amenities. In a very real way, the movement restrictions of COVID-19 gave rise to national-level claustrophobia. Also, the concept of homes as separate spaces from workplaces was displaced – they now had to be able to serve as both residential facilities and offices.

In a fairly short time, the once robust supply of affordable housing tottered and dwindled. Its total supply share reduced from 40% in 2018 to 16% in 2024. The target clientele, consisting of blue-collar workers, lower-paid workforces and those just starting out in their careers, were severely cash-strapped and obviously, buying homes did not feature among their immediate priorities. Instead, the rental market picked up after the pandemic abated and businesses sent out their ‘return to office’ call.

The previously popular model of modest beginnings with smaller ‘starter’ homes and leveraging capital appreciation and career growth to eventually upgrade to bigger ones lost its appeal. Indians who were considering homeownership at all had their eyes on the biggest units they could afford. This trend continues even today, and essentially small-sized affordable housing plays no role in it.

Shrinking Supply

At the developers’ end, constantly rising input costs comprising of land, labour and construction materials (compounded by the low profit margins of affordable housing and the withdrawal of all relevant fiscal benefits) caused their previous enthusiasm for affordable housing to dwindle. Instead, they turned their focus on what was and continues to sell well – bigger units with good lifestyle amenities.

In 2024 and as of now in January 2025, Bangalore is devoid of any supply in this segment. Hyderabad and Chennai are seeing only a minimal 2% supply share. The only cities with any sizeable activity in this segment are Kolkata and MMR. In both these cities, nearly 31% of the total upcoming supply is priced below INR 40 lakh.

NCR has witnessed a drastic reduction in its share of affordable housing, falling from 62% in 2020 to only 11% in 2024. In terms of both demand and supply, NCR is showing far greater interest in high-end and luxury properties, which is evident from the rise in the value of inventory sold during the year. Residential apartments sold in the NCR primary market in 2024 is estimated to be valued at INR 90,000 Cr, which is 32% more than in 2023. In value terms, NCR is second only to MMR.

PMAY – Current Status

While certainly not breaking any records, the Pradhan Mantri Awaas Yojana – PMAY (Urban) – has made steady progress since it was announced in mid-2015. Data by Ministry of Housing and Urban Affairs indicates 118.64 lakh homes have been sanctioned as of 20th January 2025. Nearly 90.22 lakh units have been completed, and nearly 112.50 lakh have been ‘grounded’. In terms of the financials, nearly INR 200,000 Cr of central assistance has already been committed.

Despite fairly good progress, PMAY must be made accessible to more people, and awareness about it also needs a big shot in the arm. New adaptable, sustainable and low-cost construction technologies can be used to rapidly develop large mass housing projects. The government should also try to eliminate bottlenecks in property records.

An important aspect of PMAY is interest subsidy on home loans, and direct subsidy for individual house construction or enhancement. However, to qualify for these subsidies, properties need title documents – a big hurdle, since India’s land records system is far from sophisticated enough right now to address the task holistically and at scale.

Any announcements that Union Budget 2025-26 will make in context with affordable housing will doubtlessly involve PMAY. Creative solutions and strong political will can bring this vitally important programme back to centre stage, which is where it belongs.

Is the Tide Turning?

Nationally, rising prices have led to a gradual tapering down of luxury housing, and this may trigger an inflection point where the cycle can once again turn positive for the affordable segment. Any substantial announcement for the affordable housing segment in the upcoming Union Budget can strengthen the trend and give affordable housing a seriously needed leg-up.

Even if such measures don’t initiate a full-blown revival, they can at least improve this segment’s overall prospects. Finally, a healthy housing market caters to a broad range of buyers and doesn’t favour just one segment.

Country Delight’s NMR-Tested Honey: A New Benchmark for Purity and Trust

Hyderabad, January 28, 2025: Country Delight, a trusted name in premium and natural essentials, has announced the launch of 100% Pure Farm Honey (NMR Tested). Country Delight’s Farm Honey is Nuclear Magnetic Resonance (NMR) tested by a certified lab in Germany, making it one of the most authentic and reliable kitchen ingredients available to Indian homes. It also undergoes rigorous testing on 36 quality parameters as per FSSAI standards, including physicochemical, antibiotic and microbial, to rule out the presence of added sugars.

Honey is not just a natural sweetener; it is increasingly valued for its functional benefits. With Country Delight’s NMR-tested honey, consumers can enjoy a product that supports wellness through its natural composition, which is rich in antioxidants and phytonutrients and offers advantages over refined sugars.

Adulteration with cheaper sugars or syrups like high-fructose corn syrup or rice syrup is one of the most significant issues in the honey market. As a result, NMR spectroscopy is increasingly being used in the honey industry to assess its purity, quality, and origin. The test helps detect and identify various adulterants, including sugar syrups and synthetic or chemically-created additives. NMR can also detect subtle differences in chemical profiles, revealing if extraneous sugars have been added. It also provides a detailed spectrum—a kind of ‘fingerprint’—showing the unique distribution of honey’s natural components.

The EU Reference Laboratory for Honey (European Commission) has indicated that NMR-based methods can help track honey authenticity by building databases of authentic honey samples and comparing suspicious batches against known reference spectra. At the same time, NMR can simultaneously identify various compounds in honey—sugars, amino acids, organic acids, and more.

Talking about the new launch, Mr Chakradhar Gade, CEO & Co-founder at Country Delight, said, “We are thrilled and excited about launching NMR honey and setting a new benchmark in transparency of quality to our customers. Our single-minded mission is to deliver pure and better quality products that make India live better. Every batch of Country Delight Farm Honey is NMR tested and the quality report is easily available on the Country Delight App.”

Honey has several advantages over refined sugar, particularly regarding nutrient composition and metabolic impact. Beyond these immediate benefits, honey’s bioactive compounds—such as flavonoids and phenolic acids—may contribute to better long-term health when part of a balanced lifestyle. Compared to sugar, which offers only empty calories, honey’s added phytonutrients may provide modest but cumulative health advantages over time.

A 2022 systematic review and meta-analysis of 18 small short-term trials suggests that certain types of honey may lower fasting blood sugar slightly. They may also increase the healthy type of cholesterol in the blood. The authors found that honey had the following effects: It decreases fasting serum glucose, which a doctor measures after a person has fasted for at least 8 hours. It increases levels of fasting C-peptide, which helps the pancreas know how much insulin to secrete and plays a crucial role in keeping blood sugar levels stable in a healthy range. It increases 2-hour postprandial C-peptide levels, which indicates the amount of peptide after a person eats. In 2018, a review of studies concluded that honey might be useful for treating type 2 diabetes as it may have a hypoglycemic effect. In other words, it may help lower blood sugar.

Street Child and Infosys Join Forces to Revolutionize Education Access in Ukraine Using Digital Tools

Bengaluru, India – January 28, 2025: Infosys, a global leader in next-generation digital services and consulting, today announced a critical milestone in its three-year collaboration with Street Child, an international children’s charity, with the establishment of seven Digital Learning Centers (DLCs) to address the educational challenges faced by children in crisis-affected areas of Ukraine.

This collaboration addresses the profound disruption to Ukraine’s education system caused by the ongoing conflict, which has affected over 3,700 educational institutions and destroying 365 schools, as reported by Save the Children. The conflict has forced roughly 1.9 million children – nearly half of Ukraine’s school-aged population – to rely on partial or fully remote learning solutions. Recognizing this critical need, Infosys joined hands with Street Child in 2024 to launch two impactful initiatives: creating DLCs–secured physical spaces equipped for online learning and a Digital Transformation program, leveraging Infosys Springboard, Infosys’ flagship digital learning platform, to provide tailored courses for students and teachers.

Initially focused on creating and renovating five DLCs in Dnipropetrovsk, an Oblast in Eastern Ukraine receiving less international aid due to its proximity to the front line, the collaboration remarkably delivered seven within 12 months into the engagement. Notably, one center was renovated by an all-female team of contractors, as conscription limited the availability of male workers.

Launched in September 2024, these centers have already served over 1,000 children in their first three months of operations. Each center is equipped with laptops, high-speed internet, multimedia projectors, educational materials, security systems, and accessibility features such as wheelchair ramps and modified bathrooms. Additionally, designated spaces for Mental Health and Psychosocial Support (MHPSS) provide critical support to young learners.

The Digital Transformation program focuses on preserving Ukraine’s cultural identity by offering courses in Ukrainian Language and Geography for Grades 5 and 6. For teachers, topics such as Cybersecurity and Anti-Corruption are addressed through specially developed courses, aligning seamlessly with Ukraine’s national educational platform, All Ukrainian Online. Together, these initiatives are helping build a robust and resilient educational foundation for both students and teachers.

Tom Dannatt, CEO & Co-Founder, Street Child, said, “At Street Child, we’re working to create a world where every child is safe, in school and learning. Unfortunately, the reality for Ukrainian children is that a significant number of them cannot attend a physical classroom, and so we’re focusing efforts on where we can make the biggest difference. In this case, that means making the most of digital education. Although we’re still in the early stages, we’re proud to have worked with Infosys to support more than 1,000 children amid this terrible conflict. The early success of this scheme demonstrates the transformative potential to deliver quality education in many crisis-affected regions worldwide.”

Thirumala Arohi, Executive Vice President, Head – Education, Training and Assessment, Infosys, said, “The collaboration between Infosys and Street Child is crucial as it directly addresses the devastating impact of the conflict on Ukraine’s education system. With hundreds of schools destroyed and millions of children displaced or relying on remote learning, access to quality education has become a critical need. Infosys brings to this collaboration not only its technological expertise but also a deep commitment to social impact. Together with Street Child, we are providing tangible solutions through the establishment of seven Digital Learning Centers that offer secure physical spaces equipped with the necessary technology and are leveraging Infosys Springboard to enable a digital transformation program to offer tailored courses for effective online learning. This holistic approach empowers students to continue their education, supports teachers in adapting to new learning environments, and ultimately contributes to building a more resilient educational foundation for the future of Ukraine.”

Pre- Budget by Madan Sabnavis, Chief Economist of BoB

by Madan Sabnavis, Chief Economist of BoB

“We do believe that the starting point of the budget will be the fiscal deficit and efforts will be made to lower the ratio by 0.5% to probably close to 4.3-4.4% of GDP for FY26. Within this framework, the budget would work to maintain, if not increase capex, in the range of Rs 11 lakh crore which will provide a fillip to investment (the revised estimate for FY25 could be lower than what was projected). Benefits for MSMEs and industry are also expected through the PLI scheme with probably a special dispensation for the former. There could be some minor rationalization in subsidy outgo through better targeting of beneficiaries. It would, however, be interesting to see if there are any special rebates offered on income tax given that consumption has been affected due to high inflation this year. From the perspective of banks, a more favorable tax slab for interest on bank deposits will help to provide a level field with equity markets and also provide incentive to deposit holders.”

ISO 9001:2015 Certification Awarded to Cosmo Specialty Chemicals for Quality Assurance

Mumbai, 28th January 2025: Cosmo Specialty Chemicals, a 100% subsidiary of Cosmo First and a one-stop solution for a range of Adhesives, Masterbatches, and Coating Chemicals, has successfully achieved ISO 9001:2015 certification for its Quality Management System.

The certification, issued in December 2024, recognises the company’s commitment to maintaining high-quality standards in the design, development, manufacturing, and delivery of adhesives, coatings, and masterbatch products at its MIDC Area facility in Waluj, Aurangabad.

The ISO 9001:2015 certification demonstrates Cosmo Speciality Chemicals’ dedication towards consistent delivery of high-quality products, and customer satisfaction through efficient quality management with a culture of continuous improvement of operational processes while meeting regulatory requirements and international standards.

“This certification is testimony to our ongoing commitment to quality management and customer satisfaction”, said Mr Raj Sharma, Business Head at Cosmo Speciality Chemicals. “It validates our systematic approach to ensuring product quality and reinforces our position as a trusted manufacturer in the chemical industry.”

Enjoy Playing a Variety of Songs with an Expanded Range of Sound

India, January 28, 2024 — Casio Computer Co., Ltd. announced today the latest release from the Casiotone brand, the new 76-key electronic keyboard, the CT-S1-76. Despite its compact size you can still experience the range of sound of a 76-key keyboard which allows players to enjoy an array of musical performances while featuring a minimalist design.

Our mission at Casio regarding our musical instruments is to offer unique ways for users to enjoy music that is tailored to individual lifestyles and fosters new cultural experiences under the statement of Sound for Style. The Casiotone brand produces electronic keyboards based on the concept of Make Music, Anytime, Anywhere. Among the different models available, the CT-S1 which features 61 keys, and was released in 2021, gained significant popularity for its expressive sound and compact, sleek body and design that allows it to blend in well with interior living spaces.

The CT-S1-76 continues to build on the success of CT-S1 by increasing the number of keys from 61 to 76, thus expanding the available range of sounds which allows users to perform with a broader repertoire. The keyboard features Casio’s advanced AiX Sound Source, which analyzes and faithfully reproduces the distinct individual characteristics of various instruments, providing an authentic and immersive playing experience. Despite its compact size of only 258mm deep and 1,140mm wide, the CT-S1-76 delivers powerful and resonant sounds, which is thanks to its enhanced acoustic system. The minimalist design is further accentuated by its speaker net with mixed color-texture fabric, maximizing its potential to seamlessly integrate into any living space. The layout is intuitively designed to provide ease of use by prioritizing the most essential buttons.

Additionally, by using the dedicated CASIO MUSIC SPACE app, users can connect to the keyboard using their smart devices via Bluetooth®※, that displays a list of settings such as the instrument tones and metronome and enables their convenient control directly from their smart device.

Expanded Range and Enhanced Tones for Dynamic Expression

The CT-S1-76’s 76-key range allows for more dynamic performances that incorporate both high and low octaves. The AiX Sound Source technology uses in-depth analyses of the audio characteristics of different instruments to accurately reproduce instruments such as acoustic pianos, electric pianos and organs, capturing the individual nuances which helps to create a highly realistic sound experience. It includes 61 carefully curated tones. The ADVANCED TONES, use Casio’s advanced technology to replicate a range of vintage instruments that feature on countless classic recordings to create tones that showcase the power of Casio’s AiX Sound Source. The CASIO CLASSIC TONES are selected from Casio’s rich history of electronic instruments.

Compact Design with Powerful Sound

It retains the same compact depth of the CT-S1 at only 258mm deep and is 1,140mm wide while remaining a lightweight build of only 5.3kg. This compact and highly portable design allows it to be placed in a variety of different places within a room to best suit your needs. The CT-S1-76 also includes Casio’s unique Horizontal Bass-Reflex System that produces impressive bass sounds. The Bass-Reflex system combined with the compact design makes it easy to enjoy the robust sound quality whenever and wherever you choose to play it.

Minimalist Design with Comfortable Usability

The instrument itself has been designed to include only the keyboard, speaker, and the minimum number of buttons needed, for a minimalist look. These buttons have been positioned so that the player can reach them easily to achieve comfortable usability. The remote controller function of the CASIO MUSIC SPACE app further enhances the usability by allowing users to seamlessly check and adjust the settings with your smart devices via Bluetooth® connection.