SWAMIH Fund II Announced: Rs. 15,000 Crore Boost to Complete 1 Lakh Stalled Homes

Finance Minister Nirmala Sitharaman on Monday informed Parliament that the government is in the process of formally launching SWAMIH Investment Fund II, a renewed effort to rescue stalled housing projects and provide relief to distressed homebuyers.

Announced as part of the Union Budget 2026–27, the new fund will have a corpus of ₹15,000 crore and aims to facilitate the completion of nearly 1 lakh housing units across multiple cities. The initiative builds on the earlier Special Window for Affordable and Mid-Income Housing (SWAMIH), which has played a key role in addressing liquidity constraints in the real estate sector.

Responding to a query in the Lok Sabha, Sitharaman said that as of January 31, 2026, the original SWAMIH Fund has committed investments in 148 projects nationwide. So far, 63,200 homes have been delivered, while a total of 1,01,443 units fall under its broader portfolio.

Launched in November 2019, the SWAMIH Fund was structured as an Alternative Investment Fund (AIF) to provide priority debt financing for stressed, brownfield residential projects registered under RERA. Managed by SBI Ventures, the fund has secured ₹15,530 crore to date under its first phase.

The minister highlighted that beyond completing homes, the initiative has contributed to restoring buyer confidence and reducing systemic stress in the housing market. By targeting projects that are otherwise unable to secure financing—including those involving first-time developers, legal disputes, or non-performing assets the fund has acted as a critical last-mile financing mechanism.

With SWAMIH Fund II, the government seeks to deepen this intervention, accelerate project completions, and stabilize the real estate sector, particularly in the affordable and mid-income housing segments.