Prime Minister Shehbaz Sharif has directed authorities to review the government’s housing finance scheme following concerns that its structure may conflict with the constitutional timeline for eliminating riba, Sources said the prime minister sought a detailed briefing after a report published on Saturday highlighted that the structure and timeline of the “Apna Ghar Programme” could extend interest-based lending beyond January 1, 2028 – the deadline set under the 26th Constitutional Amendment for transitioning to a riba-free financial system. Officials have been asked to assess whether the scheme’s design, featuring a five-year loan disbursement plan and 20-year repayment periods, aligns with constitutional requirements or requires restructuring. Under the programme, loans of up to Rs10 million are being offered with a fixed 5% markup for the first 10 years, followed by market-based rates. The government has allocated Rs321 billion for the first year to finance 50,000 housing units, with total financing projected at Rs3.2 trillion over five years. According to sources, the review will focus on the legal and financial implications of continuing interest-based lending during the transition period leading up to 2028, as well as the feasibility of converting the scheme into a Shariah-compliant model.
PM orders review of housing scheme
Published on: May 4, 2026 2:44 AM