Chandigarh: The state government has decided to build 3.5 lakh houses dedicated to poor which will be built under the government sponsored scheme. Private banks are also taking part in this scheme by providing loans to poor for the houses under the government scheme. The government will fund the amount of Rs 1600 crore for this scheme which will build houses for the poor in the two years.Few private banks have shown their interests regarding the scheme but state government wish that public sector banks should also take part in this opportunity. The scheme will provide plots to the poor which can be further used to get the loans from banks. No public sector banks have shown interest in this scheme except Punjab National Bank.The house will cost around 4 lakh and the amount of around 2.5 lakh will be provided as a loan from the banks whereas the cost of these houses in the NCR region could be around 14.5 lakh. Hariyana Government will launch the scheme in June and as the first installment some of Rs 25,000 will be transferred to the accounts of the beneficiary.Whereas in the rural areas each beneficiary will get Rs 81,000 for the construction of a house out of their allotted Rs 2 lakh under the Priyadarshini Awaas Yojna. Around 1.5 lakh houses will be built for the urban poor in 2014-15 and this will be doe through Housing board Haryana, Urban Local Bodies and Town and Country Planning. ISHUP scheme will allow financial the institutions to provide loans with interest subsidy of 5% for the loan up to Rs 1 lakh.The land of 300 sq ft will be provided to the beneficiaries at subsidized rates. The public private partnership model has been considered by the government which will provide liberal concessions to private players. Public sector banks are considering this as the risky proposition as it comes in the Non Performing Asset (NPA).