Punjab Urban Development and Housing Minister Hardeep Singh Mundian made a clear statement on Wednesday. He said his department provided Rs 12,000 crore to the state government. Mundian emphasized this amount should not be viewed as a loan.
Minister Clarifies Financial Transaction
Addressing media queries, Mundian explained the nature of the transaction. "You cannot call it a loan," he stated firmly. "The department has lent money to the government. When the government has money, it will return it to the department."
The minister did not specify any timeline for repayment. This lack of a clear timeframe raises questions about the arrangement.
Housing Department's Financial Role
The housing department manages property and sells housing projects across Punjab. It ranks among the richest departments in the state government. This financial strength allows it to support government needs.
This is not the first time the department has assisted the government. In September last year, the government faced a cash crunch. It struggled to pay staff salaries. The housing department stepped in with a Rs 3,500 crore bailout.
Government requests for funds from the housing department have occurred multiple times over the past year. This pattern highlights the department's crucial financial role.
Upcoming Mega Auction in Mohali
Mundian also announced major plans for revenue generation. The department will auction 42 prime sites through an online process. The Greater Mohali Area Development Authority (GMADA) will conduct this auction.
The total value of these properties reaches Rs 5,460 crore. This auction represents the first mega event of 2026. It will run from January 14 to February 11.
Properties available in the auction include:
- Residential plots
- Shop-cum-Offices (SCOs)
- Mixed-use land
- Group housing projects
- Land designated for hospitals and hotels
Strategic Locations and Accessibility
All auction properties sit in prime urban locations. They benefit from excellent connectivity. Multiple transport modes provide easy access.
Key infrastructure near these sites includes:
- The international airport
- Major railway stations
- Extensive road networks
Economic Impact and Development Goals
Mundian expressed optimism about the auction's success. He cited the government's investor-friendly policies. These policies have attracted massive real estate investment across Punjab.
The minister believes this auction will follow previous successful events. It should further accelerate economic development in the state. Revenue generated will fund GMADA development projects within its jurisdiction.
Mundian highlighted the "Invest Mohali 2026" initiative. This auction creates new opportunities for transparent urban development. Mohali is emerging as one of north India's fastest-growing investment hubs.
The minister's statements underscore the housing department's dual role. It serves as both a financial resource for the government and a driver of urban development through strategic property sales.
