The policy issue being addressed is the incentive for home loan borrowers and the objective for this policy is to help the home loan borrowers to overcome the difficult financial conditions (Agencies). This policy of allowing the home borrowers an additional deduction of Rs 1 lakh also aims at providing employment to many people in the construction industry (Agencies). The home loan includes the loan borrowed for the construction, repair, purchase or reconstruction of a house (Agencies). The interest that is to be paid on the money borrowed on loans is reduced.
The incentive will encourage investment in the ...