NEW DELHI — Finance Minister Nirmala Sitharaman informed the Lok Sabha on Monday that SWAMIH Investment Fund II is currently in the process of being formally launched. The move aims to provide a critical lifeline to thousands of homebuyers whose investments remain locked in stalled residential projects across India.
The announcement follows the provision made in the Union Budget 2026-27, which earmarked fresh capital to tackle the ongoing stress in the affordable and mid-income housing sectors.
Key Highlights of SWAMIH Fund II
Building on the success of the initial “Special Window,” the second iteration of the fund is designed with ambitious targets:
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Budget Allocation: A fresh ₹15,000 crore has been committed to the fund.
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Target Impact: The primary goal is the completion of 1 lakh additional housing units in stalled projects nationwide.
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Scope: The fund will continue to provide priority debt financing for RERA-registered, brownfield projects that fall within the affordable and mid-income categories.
Track Record of SWAMIH Fund I
The Finance Minister provided an update on the measurable impact of the first fund (launched in 2019):
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Committed Projects: As of January 31, 2026, the fund has committed investments in 148 projects.
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Deliveries: It has already facilitated the delivery of 63,200 homes, with a total portfolio of over 1.01 lakh homes across India.
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Capital Secured: A total of ₹15,530 crore was secured under the first phase to revive languishing developments.
The “Lender of Last Resort”
The SWAMIH (Special Window for Affordable and Mid-Income Housing) fund, managed by SBI Ventures, serves a unique role in the real estate ecosystem. Unlike traditional lenders, it is designed to work with:
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Stressed Projects: Developers facing customer complaints or legal disputes.
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NPA Accounts: Projects classified as non-performing assets.
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First-time/Struggling Developers: Projects that have hit a standstill due to liquidity crunches.
“The fund has had a measurable impact on reviving buyer confidence and reducing stress in the housing sector,” the Finance Minister stated during the Budget Session.
