Financing, Consultancy and Capacity Building
Aiming New Responsibilities, Looking New Possibilities...

HUDCO was established with an equity base of Rs. 2 crore. Over the years, the Government has expanded the equity base. The present authorized capital base of HUDCO is Rs.2500 crore and paid up capital is Rs.2001.90 crore.

HUDCO's major milestones in the evolutionary history are:

Year Milestones

HUDCO was established under the Companies Act 1956 with an equity of Rs. 20 million


Introduction of ceiling costs, revised financing pattern where in a differential interest rates regime corresponding to various income groups like EWS, LIG, MIG and HIG was adopted. Cooperative housing was introduced by providing financial assistance to co-operative societies.


First time a low-cost Housing Design ideas competition was held by HUDCO and 7 entries were selected and adopted at the national level.


started funding for Rural Housing Schemes whereby funds are provided to agencies nominated by the state government for undertaking Housing projects in rural areas for families whose total monthly income does not exceed Rs.350 provided that the total cost of the house does not exceed Rs.4000.


Started funding urban development schemes, for instance water supply/urban infrastructure schemes were financed at 8.5% with 12 years repayment period.


A new scheme – “Slum Upgradation on public lands” was introduced whereby funds are lent to appropriate agencies on approved schemes for providing water supply, sewers, bath, street lights etc. in squatter settlements on public lands on which beneficiaries are granted a tenure of not less than 20 years.


Decentralization of Regional Offices.


Started consultancy management services to handle all types of research-oriented design and development work. Housing Settlement and Management Institute was established as a national level research and training wing of HUDCO in the housing, human settlements and urban development sectors. A new scheme of ‘Land Bank’ was launched to provide housing space to urban poor without any shelter and those squatting on public lands.


Introduced Financing for Village Abadi Environmental Improvement Scheme.


Government of India assigned the role of financing urban infrastructure to HUDCO and an Urban infrastructure Window was created in HUDCO with a preference given to water supply and sewerage schemes in small and medium towns.


HUDCO was identified as the nodal agency in the Government of India’s massive programme of declaring 500 cities as scavenger-free by the end of 1990-91 by converting dry latrines into pour-flush water sealed latrines. HUDCO entered into refinance arrangement with National Housing Bank in which HUDCO refinanced the land development and shelter projects of public housing agencies and professional developers as per NHB Guidelines. In the post-liberalisation era, the exemption from tax and dividend that HUDCO used to get from the Government of India to serve its social mandate was withdrawn and HUDCO started paying taxes and dividends.


Started financing private builders by giving project-linked loan assistance for undertaking housing and commercial projects. New schemes like acquisitions of land and land development, housing schemes through NGOs, housing schemes for service personnel, a land bank for the shelterless category and integrated waste management. .


Further diversification through an expanded delivery mode- Earlier operations were through public housing and urban development agencies. HUDCO expanded its financial assistance to the private sector and non-governmental organizations.


Staff Rental Housing Program for state government employees and housing schemes for police personnel in particular were the emphasis areas. HUDCO played a key role in the government of India Action Plan Scheme, 2 Million Housing Program. Of the 20 lakh units to be provided in urban areas 7 lakh units are to be in urban areas and out of this, HUDCO was to provide one- third i.e. around 2.3 lakh units. This was in addition to HUDCO’s contribution for extending assistance to part of the 13 lakh units in rural areas. Special emphasis on ecologically appropriate infrastructure projects like utilization of liquid and solid waste, recycling of waste water, bio gas etc.


HUDCO bagged the Prime Minister’s Award for being amongst the top 10 PSUs. Significant emphasis on waste management projects. HUDCO finance many Municipal Solid Waste (MSW) management schemes like waste-to-energy projects were financed in major cities. HUDCO financed the country’s project on BOO/BOOM basis in waste management sector in Nagpur. This plant has the distinction of being the first MSW-based bio-methanation plant on a commercial basis in India. HUDCO financed agro-industrial waste projects in the form of bagasse-based congeneration projects, Initiated a programme for development of Model villages (Adarsh Gram) and Model Improved slums(Adarsh Bastis) for providing integrated input of physical planning, architectural design, efficient utilization of land and appropriate technologies. 10 Model Villages and 13 Model Bastis were approved for grant-in-aid assistance.


Started retail financing lending in 1999- HUDCO NIWAS Diversification of HUDCO’s operations into the various housing delivery modes has been systematic. From the initial financing of public sector housing agencies, HUDCO diversified into financing co-operative financing in mid-seventies. This was followed by corporate lending, Both in the public and private sector. HUDCO then went on to financing real estate builders. Then HUDCO down-marketed credit to the poor through NGOs, CBOs. Extending assistance to individuals was the last link in this chain. Increased emphasis on housing finance to EWS and LIG by increased participation in Maithri Housing Scheme in Kerala, Ashraya Housing Scheme in Karnataka. HUDCO has supported the Janakeeya Parpida Padhati (People’s Housing Scheme) of Kollam district in Kerala to eradicate the houselessness in the district. Initiation of securitization of its infrastructure Loan Assets.


Assisted Ministry of Urban Development & Poverty Alleviation in implementation its programme of “Rejuvenation of Culturally Significant Cities” with a pilot project in Varanasi envisaging environmental improvement of ghat area. Initiatives on “Environmental Conversation and Greeting of Cities” by providing techno-financial assistance for development of Vivekananda Park and Aurobindo Park by converting neglected open spaces into large green spaces.


Accorded Schedule– A status. A major increase in authorized capital to Rs. 25 billon. HUDCO was identified as Project Implementation Agency for construction of community assets buildings. Significant contribution in the form of both technical and financial assistance of HUDCO in Orissa cyclone and Gujarat earthquake especially the building centers supported by HUDCO played a key role in stabilizing the lives of the victims by providing them housing. The design and development assistance provided by HUDCO for reconstruction of Dholavira Village and construction of 20 demonstration houses in Kutch region were noteworthy initiatives.


Innovations in its operations like Take-Out Finance initiative and innovative diversification into various new areas like power and energy sectors. HUDCO’s operations achieved an all time high growth with sanctions of Rs. 15627 Cr and releases of Rs. 8180 Cr and an-all time high profits of Rs. 266.54 Cr.


First initiative taken by HUDCO for preserving the country’s prominent historical monuments and unique architectural heritage by signing an agreement with the French Embassy to conservation of heritage buildings in Ahmedabad. Promotion of tourism in the country for instance provided plan inputs to develop the city of Gangtok as a tourist spot. Establishment of HUDCO HAATS in all the state capitals as ‘permanent building technology expositions and housing guidance’s centre.’Started providing consultancy service for solid waste management and HUDCO was assigned the work of preparation of Detailed Project Report (DPRs) on solid waste management and drainage in 10 selected IAF Airfield towns by the central government.


HUDCO was awarded the MINI RATNA status. HUDCO launched its first Joint Venture and it was formed in partenership with ‘Pragati Growth & Development Ltd' , Kolkata by floating a Joint Venture named ‘Pragati Social Infrastructure & Development Ltd. ’Significant technical and financial assistance was provided to Tsunami victims.


Creation of an exclusive Urban and Regional Planning Wing; HUDCO became an ISO 9001 certified organization. HUDCO was identified as one of the appraisal agencied for Basic Service for the Urban Poor (BSUP) and the only appraisal agency for integrated Housing and Slum Development Programme (IHSDP) under the Government of India’s mission programme-JNNURM for reviving the country’s cities.


Extensive focus on Fee based activities & consortium lending.


The ministry of Housing and Urban Alleviation (MoHUA) has designed an Interest Subsidy Scheme for Housing the Urban Poor (ISHUP) as an additional instrument for addressing the housing needs of the EWS/LIG segments in urban areas. HUDCO is one of the Nodal agencies for the scheme. HUDCO also plays a significant role in ”Affordable Housing in Partnership Scheme” launched by the Government of India.


During the year, a distinct thrust has been extended to the fee based consultancy activities by HUDCO during the year. Five consultancy zones have been organized at Delhi, Mumbai, Chennai, Kolkata and Guwahati. The consultancy operations in HUDCO have over the years made significant contribution in the areas of weaker section housing, alternative building materials and technologies, support to green building initiatives, preservation of cultural heritage, environmental improvement and landscape development.


‘Excellent’ MoU Rating awarded to HUDCO after a gap of 7 years. HUDCO’s Profit After Tax(PAT) crossed Rs. 500 Cr for the first time. HUDCO crossed the loan outstanding mark of Rs.25000 Cr. HUDCO started refocusing more on government business during the year. HSMI is also one of the identified National Nodal Resource Centres of the Ministry of Housing & Urban Alleviation (MoHUA) for coordination various training and documentation activities under the IEC(Information, Education & Communication) component of the Swarna Jayanti Shahari Rozgar Yojana(SJSRY). Green Building initiative has been an important focus area during the year. The proposed institutional complex at HUDCO’s plot at NOIDA, proposed office building at HUDCO’s plot at Jhalana Doongri, Jaipur and proposed office building for ASI at Tilak Marg, New Delhi were successfully registered for the GRIHA Four Star Rating.


HUDCO Board gave in-principle approval for equity investment of Rs.1 crore in the proposed new Housing Finance Company –SEWA Grih Rin(SGR), promoted by Micro Finance Institution, SEWA. Partnering with Delhi Mumbai Industrial Corridor (DMIC) by taking up 19.9% equity stake(Rs. 19.9 Cr). Subscription of upto Rs 50 Cr to the units of infrastructure Debt Fund (IDF) launched by India Infrastructure Financing Corporation Ltd(IIFCL). A Credit Risk Guarantee Fund Trust (CRGFT) partnering the National Housing Bank (NHB), HUDCO and other financial institutions has been set up for the purpose of facilitating housing load access to the urban poor.


HUDCO launched two new products - HUDCO Nav Nagar Yojana (HuNNY) and Rent-to- Own Scheme. HUDCO supported an overwhelming number housing units 14.34 lakh out of which 14.11 lakh units belong to EWS and LIG segment.


HUDCO’s long term Credit Rating upgraded to “AAA”


HUDCO received Rajbhasha Kirti Puraskar 2017 from Hon’ble President of India on 14th September, 2017 for its outstanding execution of official language policy in the organization.


Recertification of HUDCO in ISO 9001:2015 Quality Management System. HUDCO Registers 87% Growth in Disbursements during Financial Year 2018-19.


HUDCO Posts 45% growth in Net Profit of Financial Results of 2019-20.


HUDCO Contributes Rs.50.28 crore to PM CARES Fund.


  • Achieved Highest ever Profit After Tax (PAT) of ₹1,716.60 Crore.
  • Paid Highest ever Dividend of ₹703.62 Crore.
  • Highest Domestic Credit Rating AAA from ICRA, CARE, and India Ratings & Research.
  • 2022-23

  • Loan Outstanding crossed Rs. 80,000 Crore for the first time.
  • CSR contribution to ‘PM Cares Fund’ reached Rs. 125 Crore.
  • CSR contribution of Rs. 27.85 Crore to ‘Swachh Bharat Kosh’.
  • 2023-24

  • HUDCO was conferred NAVRATNA Status by Govt. of India.
  • All time High loan sanctions in this year.