The Asian Development Bank (ADB) and IIFL Home Finance (IIFL) have inked a technical assistance (TA) agreement worth $1 million to help India develop green and affordable housing options.
The ADB and IIFL will use the TA to promote awareness among developers and other players in the affordable housing market about climate risk reduction and adaptation, as well as green-certified housing standards. IIFL will provide an extra $150,000 to the TA.
“Building climate-resilient and sustainable communities start with each green house, especially for low-income populations who are particularly exposed to the effects of climate change. IIFL is our partner in expanding the reach of green affordable housing in India,” said ADB senior investment expert for South Asia. “Through the initiative, more real estate developers and housing finance businesses in India will be able to incorporate green financing and climate adaption techniques into their affordable housing solutions scaling up.”
Industry research activities will be promoted as part of the programme to improve understanding of the green housing market and value chain. These include an evaluation of prospective buyers' and developers' existing understanding, as well as a uniform green building grading system that would be adaptable to different temperature zones across India. In the framework of affordable housing, a mechanism to combine green finance and climate adaption measures will be created.
The TA will teach IIFL's technical team, as well as personnel from state housing boards and housing developers, on climate adaption strategies and the green certification procedure for climate-resilient structures, to strengthen the housing sector's climate resilience capability.
"We are excited to partner with ADB and look forward to achieving our shared objective of establishing a sustainable environment and igniting a green affordable housing revolution in India," IIFL executive director and CEO Monu Ratra said.
IIFL is one of India's most well-known affordable housing financing businesses, focusing on first-time homebuyers and lower-income consumers. IIFL had served 141,000 subscribers as of March 2021. Through its knowledge platform Kutumb, which provides resources on financing, technical know-how on green construction and certification, and compliance with environmental, social, and governance standards, the company has undertaken several first-in-industry initiatives to promote green affordable housing widely.
The Asian Development Bank is dedicated to building a prosperous, inclusive, resilient, and sustainable Asia and the Pacific while continuing to fight extreme poverty. It was founded in 1966 and is owned by 68 people, 49 of them are from the region.
Source: Construction Week Online