New Delhi, 24 September 2026: The Japan International Cooperation Agency (JICA) has signed an agreement with IIFL Home Finance Limited (IIHFL), with commitment of a US$150 million loan, to expand access to affordable housing finance for women from Economically Weaker Sections (EWS) and Low-Income Groups (LIG) in India.
The project will be implemented through a co-financing arrangement with the Asian Development Bank (ADB) and private financial institutions, including MUFG Bank, Ltd. The project aims to improve access to housing finance for low-income women, enabling improved living standards, financial inclusion and women’s economic empowerment.
On this partnership, Yosuke Sato, Senior Representative of JICA India, said that “JICA is committed to working with development finance institutions, private financial institutions and other partners to expand inclusive housing finance in India. Through this partnership, we seek to widen access to affordable housing for low-income women, support their economic empowerment and advance financial inclusion. We will also leverage and share Japan’s knowledge, expertise and experience in housing finance to contribute to the continued development of India’s inclusive housing market.”
India is experiencing rapid urbanisation, driving a significant increase in demand for housing. The country currently faces an urban housing shortage of more than 10 million housing units, with housing demand projected to increase by a further 22 million units by 2030. Around 95% of the existing housing shortage is concentrated among low-income households, making affordable housing a significant socio-economic priority.
At the same time, women account for only around 30% of housing finance users in India, highlighting the need to expand their access to formal housing finance and homeownership opportunities.
Against this backdrop, the Government of India has identified support for home acquisition among low-income urban households as a priority under its “Housing for All” initiative. The JICA-supported project will contribute to these efforts by channelising long-term financing for home acquisition by low-income women.
Beyond financing, JICA, in collaboration with the Japan Housing Finance Agency (JHF) and other partners, plans to provide training for officials of Indian housing finance regulators and IIHFL staff.
The training will cover Japanese experience and practices in areas including housing policy, affordable housing and decarbonised building practices. JHF has extensive experience supporting the development and expansion of housing finance systems in emerging economies and promoting housing market environments conducive to private-sector participation.
The initiative is therefore expected to contribute not only to increased access to housing finance for low-income women, but also to the broader development of India’s housing finance market by facilitating the exchange of Japanese knowledge and experience.