Cheaper house loans a growth driver

Pakistan’s federal Apna Ghar scheme offers eligible households home loans of as much as Rs10 million, charging 5% for the initial decade and allowing repayment over as long as 30 years. The Express Tribune says the programme had received about 191,900 applications and secured 75,200 approvals by October 9. An earlier review put approved funding at Rs426 billion and actual payments at Rs76 billion, against a Rs700 billion target for 125,000 homes.

The difference between approvals and cash reaching borrowers highlights the importance of delivery, while the article argues that housing credit must be paired with additional construction and fair access. It cites construction’s 2.35% contribution to GDP and reports that domestic cement dispatches rose 7-8% in 1QFY27, without attributing that increase solely to subsidised loans. For the policy to benefit more families, the writer also calls for lending assessments that accommodate informal earnings and stronger housing supply.