Pakistan Government Increases Low-Cost Housing Loan Limit To Pkr 10m

On February 27, 2026, Pakistan's Economic Coordination Committee (ECC) approved significant enhancements to the 'Mera Ghar Mera Aashiana' mortgage financing scheme, increasing the loan limit for low-cost housing to PKR 10 million. This decision follows the scheme's initial approval on July 25, 2025, and aims to stimulate the construction sector and improve home ownership. As of February 13, 2026, the scheme has received over 10,594 loan applications totaling approximately PKR 32.288 billion, with 344 loans disbursed worth around PKR 810 million. The revised framework includes a uniform 5% end-user pricing and targets financing for approximately 500,000 housing units over the next four years, with subsidy payments aligned with actual disbursements to ensure fiscal prudence (ProPakistani). Finance Minister Muhammad Aurangzeb emphasized that these changes are designed to expand access to affordable housing finance and promote sustainable home ownership through a balanced risk-sharing model.