PUNE: The Pimpri Chinchwad Municipal Corporation (PCMC) has proposed to double the housing loan amount it provides its employees, from the present Rs 7.5 lakh to Rs 15 lakh.

The civic administration has also proposed to double the maximum
permissible loan amount for house extension and repairs. It has also
been proposed to increase the maximum permissible loan amount to buy
plots by six times the present limit.

The proposal forwarded to the standing committee states officials and employees of PCMC
are provided with loans for house construction, plot purchase and house
repairs and maintenance since 1979-80 as per the general body (GB) and
government resolutions.

While the maximum limit of loan for
house construction or purchase is Rs 7.50 lakh, the loan for house
extension is Rs 1.80 lakh.The limit for house repair loan is Rs 90,000. The maximum limit of loan for purchasing plots is Rs 60,000.

In February, the state government revised the loan limits for house
construction or purchase, house repair and maintenance and plot purchase
considering the increase in salaries. PCMC has sought to revise its
loan policy following the government directives.

Subhash Sarin,
general secretary, Pimpri Chinchwad Mahanagarpalika Karmachari Mahasangh
(PCMKM) said, “At the meeting with additional commissioner Prakash
Kadam, we had suggested that the maximum loan limit be raised to Rs 20
lakh for purchase of new flat, as the minimum price of a 1 BHK in the
city is Rs 15 lakh. The civic body will not give loan of entire Rs 20
lakh to the civic employees and officials as it will verify his/her
repaying capacity, years of remaining service and other things.

This will mostly benefit the newly recruited civic employees who have a
long period of service left. We will raise this suggestion again with
the members of the standing committee.”