Mera Ghar Mera Aashiana Scheme Loan Limit Increased

ISLAMABAD: The government has approved an increase in loan limit under the revised features of the “Mera Ghar Mera Aashiana (MGMA)” – Mortgage Financing for Low-Cost Housing scheme.

The Economic Coordination Committee (ECC) of the Cabinet approved the surge.

The approval was granted in a meeting chaired by Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb when a summary submitted by the Ministry of Housing and Works seeking approval of the revised features was considered.

The cxommittee was informed that since its launch, the scheme has generated strong public response, with over 10,594 loan applications received and disbursements underway.

Loan Limit Increased to Rs10 Million

After due consideration, the ECC approved the revised features of the scheme, including enhancement of the loan limit up to Rs10 million, expansion of eligible housing size parameters, introduction of a uniform 5% end-user pricing, scaling targets for housing finance over a four-year horizon, continuation of implementation through the State Bank of Pakistan mechanism, and adjustment of already disbursed loans to the revised 5% rate to ensure uniformity.

The committee emphasized that subsidy payments will be aligned with actual disbursements and accommodated within annual fiscal allocations.

The revised framework is aimed at expanding access to affordable housing finance, stimulating construction activity, generating employment, and promoting sustainable home ownership through a balanced risk-sharing and mark-up subsidy model.

The ECC also considered and approved a summary submitted by the Ministry of Interior & Narcotics Control regarding the transfer of Rs. 7.289 million as a Technical Supplementary Grant (TSG) for the ICT component of the project titled “National Program for Enhancing Command Areas in Barani Areas of Pakistan,” aimed at strengthening agricultural productivity in rain-fed regions.