Green Housing Gets Finance Push as IGBC, PNB Partner; Green Home Projects Cross 4.68 Bn Sq. Ft.

The tie-up brings green building certification and institutional finance together to make sustainable homeownership more accessible across India.

Buying an IGBC-certified green home could soon become more affordable as the Indian Green Building Council (IGBC) and Punjab National Bank (PNB) have signed a strategic Memorandum of Understanding (MoU) to promote sustainable home ownership through preferential home loan financing.

Under the partnership, IGBC will identify eligible residential projects for certification, while PNB will extend financing support to developers and homebuyers through its Harit Niwas Scheme. The collaboration is expected to expand access to green finance, encourage developers to adopt green building practices and make certified sustainable homes more accessible to buyers.

The initiative also seeks to strengthen awareness of sustainable housing and explore innovative financing models for affordable green homes under IGBC Green Homes and IGBC Green Affordable Housing.

According to IGBC, its Green Homes Rating System has facilitated the registration of 4,298 green housing projects covering more than 4.68 billion sq. ft. across India, reflecting rising demand for resource-efficient and environmentally responsible residential developments.

Under the Harit Niwas Scheme, buyers of IGBC-certified homes will receive a 0.10 per cent concession on applicable home loan interest rates, along with nil processing fees, nil documentation charges and up to 5 per cent higher repayment eligibility, improving affordability for homebuyers.

Anuj Kumar Agarwal, Chairman, IGBC Green Banks & Finance, said, "Linking green building certification with preferential financing will encourage wider adoption of sustainable homes and benefit homebuyers, developers and financial institutions."

Meanwhile, Firoz Hasnain, Chief General Manager, MSME & Retail Division, Punjab National Bank, said, "The partnership will make green housing more accessible through financial incentives, improving affordability for buyers while supporting sustainable growth."

The move is expected to strengthen the adoption of green housing by linking certified residential projects with preferential financing, improving affordability for homebuyers and encouraging developers to pursue sustainable building practices.