ECC approves markup subsidy for Naya Pakistan Housing Authority

'End-user markup rate on housing units measuring up to five marlas will be 5pc for the first five years and 7pc for the next five years'

ISLAMABAD: The Economic Coordination Committee (ECC) of the Cabinet on Wednesday approved markup subsidy for the housing finance proposed by the Naya Pakistan Housing and Development Authority (NPHDA).

The prime minister on July 10th had announced special incentives for the housing and construction sector to revive economic development amid Covid-19 pandemic.

“The markup subsidy will be provided for 10 years on bank financing,” said a statement issued by the finance ministry. “Accordingly, end-user markup rate on housing units measuring up to five marlas will be 5pc for the first five years and 7pc for the next five years.”

For housing units measuring 10 marlas, end-user markup rate would be 7pc for the first five years and 9pc for the next five years.

The subsidy would be given on units where the price of the housing unit does not exceed Rs3.5 million for five marlas and is not more than Rs6 million in case of a 10-marla house.

As many as Rs33 billion were allocated for the loan tenor of 10 years, with Rs4.77 billion to be allocated in the current financial year for the payment of markup this year.

Meanwhile, the ECC, chaired by Adviser to Prime Minister on Finance and Revenue Dr Abdul Hafeez Shaikh, decided to allocate 150,000 metric tonnes of wheat to Pakistan Army from PASSCO resources on payment criteria set for 2020-2021.

The committee also approved the prices of tobacco recommended by the Price and Grade Revision Committee in pursuance of Section 8(1) of the PTB Ordinance 1968, directing the Ministry of National Food Security and Research (MNFSR ) to give a detailed presentation on the mechanism of determination of prices and also point out the gaps in the system.

Moreover, the committee approved an allocation of Rs41.8 million for the Ministry of Information Technology and Telecommunication/NITB for the deployment of systems, data analysis, modelling and mobile apps for NCOC stakeholders and government departments with the instructions that wherever possible the budget would be rationalized/ minimized with the consultation of Finance Division.

Lastly, the ECC approved the Establishment of Balochistan Mineral Exploration Company Limited (BMEC) with the support of the federal government.

5 COMMENTS

  1. Construction and real state sectors can perform without any help but the two big property tycoons DHA And Bahria Town are main hurdles in this practice. DHA launched a Housing Schem fifteen years before Named DHA Valley Islamabad and eighty thousand overseas and inland Pakistanis purchased plots and DHA grabbed hundreds of thousands billions dollars and Pak rupees from them . No development and progress have been made by DHA till today in This way hard earned money of eighty thousand people have stuck/blocked in DHA Valley. Pakistan Rupees have devalued up to hundred percent but the plots prices have decreased to Fifty percent. Allottees of DHA Valley have been looted but State of Pakistan is sleeping . Why the overseas Pakistanis will invest their hard earned money in Pakistan if are treated like this . If the PM take notice and these eighty thousand people are given possession of their plots construction and real state sector will automatically progress.
    The same case is of Bahria Town Rawalpindi Phase-8 . Allottees of Phase-8 Extensions and F-5 Block are waiting for fifteen years but haven’t been given possession of their plots. Effectees of these housing schemes have been looted but no one is going to listen their cries. PTI And Imran Khan claims to be transparent but in these cases they’re sleeping. These both scams are the biggest scams in the history of Pakistan but Supreme Courts, NAB , Army Chief And Prime Minister of Pakistan are not interested to take any notice because these both tycoons are unthinkable in Pakistan.

    • Abid Hussain, you are right. Another example is DHA phase 2 extn, Islamabad (changed the name to DHA phase 6 but ground realities remained the same, no development). The project was launched in 2005 and still the owner of plots don’t have possession even though development charges were paid. Complaints were launched on PM portal but they would reply with a fit for all sentence “Development is in progress”. No body care about the bloody civilians.

  2. There is not doubt DHA is a bigger scam even than the Bahria Town! They both have plundered people’s hard-earned money. I’m an overseas Pakistani and invested in DHA in 2009 but every time I visit or call their office to ask about development, they make this excuse or that. And, now, they say, “you know it’s COVID-19. So, the work was slowed due to it.” We can simply call it BESHARMI and BEHAYAEE in a parliamentary language. If Army Chief and Chief Justice or PM don’t take a notice, what can we assume? Only, that they are either helpless or hand-in-glove with these looters.

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