The government has stepped up efforts to make housing more affordable and generate jobs, as Prime Minister Shehbaz Sharif chaired a high-level meeting to review new plans for the sector. The focus remains on helping low- and middle-income families access homes while also encouraging investment and construction activity.
During the meeting, the prime minister described affordable housing as a basic right and stressed the need to make home financing easier for ordinary citizens. He directed officials to simplify loan procedures and remove hurdles that discourage both local and foreign investors, including overseas Pakistanis.
Officials briefed the meeting on a set of proposals prepared by a task force, aimed at boosting construction and expanding access to mortgage financing. These include developer-led financing models and steps to strengthen the broader housing finance system. The government has already introduced a low-cost housing finance scheme and plans to assign specific lending targets to banks in the coming phase.
Legal reforms in the housing and construction sector are also nearing completion. Authorities are working to improve coordination between federal and provincial governments, including regions such as Azad Kashmir and Gilgit-Baltistan, to ensure smoother implementation of policies.
In recent weeks, the government has accelerated its policy push. Plans are underway to establish a Real Estate Regulatory Authority (RERA), standardise construction-related taxes and expand public-private partnerships to increase housing supply.
The State Bank of Pakistan has also revised its affordable housing finance scheme, lowering markup rates to 5% and increasing loan limits up to Rs 10 million. The move is aimed at making home ownership more achievable for middle and lower-income groups.
