Bihar has formally requested the Centre to release Rs 3,000 crore under the Pradhan Mantri Awas Yojana Gramin (PMAY-G), citing administrative delays linked to the implementation of the Single Nodal Agency (SNA) mechanism and pending payments to thousands of rural housing beneficiaries.
The appeal was made in the state Assembly by Rural Development Minister Sharwan Kumar, who acknowledged that Bihar has yet to operationalise its SNA account a reform introduced in 2021 to streamline fund flow and monitoring for centrally sponsored schemes. The SNA system mandates that funds for schemes like PMAY-G be routed through a designated Single Nodal Agency account and disbursed digitally to beneficiaries via the Public Financial Management System (PFMS) integrated with AwaasSoft. According to the minister, the Centre released Rs 91 crore in January, which was distributed among beneficiaries despite the absence of a functional SNA account. However, the state has not yet received the larger tranche of Rs 3,000 crore sought to clear pending liabilities. “We are in the process of creating the SNA account. Until that is completed, we have urged the Centre to release Rs 3,000 crore so we can distribute funds to eligible beneficiaries before March 31, 2026,” Kumar said.
Bihar has approval to construct more than 12.08 lakh pucca houses under PMAY-G. Of these, 11.35 lakh beneficiaries have reportedly received the first instalment. However, approximately 72,492 beneficiaries are still awaiting the initial tranche. Around 9.16 lakh houses are currently under various stages of completion, making timely fund disbursal critical to avoid project slowdowns and cost escalations. The situation highlights a recurring challenge in the implementation of centrally sponsored schemes: balancing fiscal discipline and digital compliance reforms with on-ground delivery timelines. The SNA framework was designed to improve transparency, reduce parking of funds at multiple administrative levels, and enhance real-time monitoring. However, transitional bottlenecks particularly in states with large beneficiary bases can disrupt cash flows in welfare-linked infrastructure programs. For Bihar, where rural housing remains a core socio-economic priority, delays in instalment payments risk slowing construction momentum and affecting labour cycles, especially in the pre-monsoon execution window. PMAY-G is one of the Centre’s flagship rural housing initiatives, aimed at ensuring “Housing for All” through financial assistance to construct pucca houses for economically weaker rural households.
With the March 2026 financial-year deadline approaching, the timely release of funds will be crucial in determining whether Bihar can sustain execution velocity and meet its approved housing targets. The Centre’s response to the state’s request will likely shape both fiscal coordination and the pace of rural housing delivery in one of India’s largest beneficiary states.
Also Read: BMC Moves to E-Auction Six Mumbai Properties Over Rs 455 Crore Tax Arrears
SNA Delay Holds Up Rural Housing Funds; Bihar Urges Centre for Rs 3,000 Crore Release
