Businessman calls for construction financing system

Mian Zahid Hussain, president of the Pakistan Businessmen and Intellectuals Forum, has urged the government to create a dedicated construction financing mechanism that offers long-term, low-cost funds, according to Business Recorder. He also proposed a digital one-window approval process, tax policy changes, quicker land and building clearances, digitised land records and lower duties on construction inputs. Incentives, he argued, should target affordable housing, high-rise urban projects, green and earthquake-resistant buildings, locally made materials and modern technology.

He said the sector should be seen as a driver of industrial growth rather than only a real-estate activity, noting that the Pakistan Economic Survey put construction growth at 5.7 percent in FY2025-26. Cement dispatches rose 7.2 percent to 50.5 million tonnes over the same year, while domestic sales climbed even faster. In July 2026, total dispatches reached 4.476 million tonnes and domestic sales grew 17.3 percent, though cement exports fell 30 percent to 705,341 tonnes.

He welcomed the Prime Minister's announcement of a wide-ranging development package for the sector, which covers proposals for a Construction Industry Development Board, a possible Construction Development Bank and a longer defect liability period for public projects. He cautioned that temporary incentives alone would not suffice and that the recovery should be turned into lasting structural reform. With the federal development programme (PSDP) near Rs1 trillion for FY2026-27, private sector involvement in housing, commercial projects and infrastructure would be vital.