Finance Minister Muhammad Aurangzeb has approved a major new scheme to support the construction of affordable homes nationwide. The decision was made during a recent Economic Coordination Committee (ECC) meeting, which Aurangzeb chaired. This scheme aims to address the country’s housing shortage and make homeownership possible for low- and middle-income families.
The government will provide financial support through the Markup Subsidy Risk Sharing Scheme. This will help reduce the cost of borrowing for homebuyers by sharing the interest subsidy between the government and financial institutions. The Ministry of Housing has been instructed to develop a comprehensive and accurate database of potential beneficiaries to ensure smooth implementation and transparency.
Under the plan, the government intends to promote the construction of 5 million low-cost houses across Pakistan. Eligible buyers will be offered loans ranging from 20 lakh to 35 lakh rupees, repayable over 20 years. This long repayment period will help make monthly installments affordable for more people.
During the same ECC meeting, officials also raised concerns about recent increases in the prices of essential cooking items like ghee and cooking oil. Despite a global decrease in these prices, the relief has not fully reached consumers, prompting the committee to seek measures to protect the public.
Additionally, the ECC approved officially recognizing ship-breaking and recycling as a formal industry in Pakistan. This decision aims to regulate the sector better, create jobs, and boost economic activity while ensuring environmental safety.