Each house would be built with Rs 3 lakh in Centre-state subsidy and Rs 2 lakh in state-supported financing, Mr Chouhan said at an event organised by CII.
He said the transformation of Madhya Pradesh from a BIMARU state to one with seven cities in the National Smart Cities Mission is a result of the state's policies and its implementation.
BIMARU is an acronym for Bihar, Madhya Pradesh, Rajasthan, and Uttar Pradesh, which were considered to be financially sick ('Bimar' in Hindi) and backward states.
Highlighting MP's achievement since he took over as chief minister 12 years ago, Mr Chouhan said that the state has ensured power and road connectivity.
It has also become an investment destination for renewable energy, a highlight being the solar power plant of 750 MW at Rewa, which created history with the lowest-ever tariff of Rs 2.90 for the first year of operation, he said.
An extensive river-linking project has ensured water availability even in the remotest areas, Mr Chouhan said.
He also highlighted the state's agricultural policies and said, "Agriculture needs to be a profitable business. A food processing policy has been formulated. These efforts have doubled the agricultural output of MP in the last five years".
On infrastructure, Mr Chouhan stated the state government is connecting every village to roads, power grid, Wi-Fi and drinking water systems.
Get Breaking news, live coverage, and Latest News from India and around the world on NDTV.com. Catch all the Live TV action on NDTV 24x7 and NDTV India. Like us on Facebook or follow us on Twitter and Instagram for latest news and live news updates.