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Finance and Excise Minister, Senator Muhammad Aurangzeb. Photo: APP
ISLAMABAD:
The Economic Coordination Committee (ECC) of the Cabinet on Friday approved the revised “Mera Ghar Mera Aashiana” (MGMA) – mortgage financing for low-cost housing and sanctioned key infrastructure grants.
The Cabinet Committee meeting was chaired by the Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb, according to a press release issued by the Finance Ministry.
According to the press release, the ECC considered a summary submitted by the Ministry of Housing and Works for approval of revised features of “Mera Ghar Mera Aashiana (MGMA)” – mortgage financing for low-cost housing.
The committee was informed that since its launch the scheme has generated a strong public response with over 10,594 loan applications received and disbursements underway.
After due consideration, the ECC approved the revised features of the scheme. These include an improvement of the loan limit up to DKK 10 million. Rs., expansion of eligible home size parameters, introduction of uniform end-user pricing of 5%, scaling of housing finance targets over a four-year horizon, continuation of implementation through the State Bank of Pakistan (SBP) mechanism and adjustment of already disbursed loans at the revised rate of 5%.
The committee emphasized that grant payments will be matched according to actual payments and accommodated within annual fiscal allocations.
The revised framework aims to expand access to affordable housing finance, stimulate construction activity, create employment and promote sustainable home ownership through a balanced risk-sharing and price subsidy model.
The ECC also considered and approved a summary submitted by the Ministry of Home Affairs and Narcotics Control regarding the transfer of Rs7.289 million as a Technical Supplementary Grant (TSG) for the ICT component of the project titled “National Program for the Improvement of Command Areas in Barani Areas of Pakistan”, aimed at enhancing agricultural productivity in rainfed and rainfed areas.
Further, ECC approved a summary submitted by Railways Division for provision of Technical Supplementary Grant (TSG) of Rs 6.61 billion for Thar Coal Rail Connectivity Project as budgetary cover.
The project is intended to facilitate the transportation of domestic coal to power plants and industrial sectors, thereby supporting energy security and reducing dependence on imported fuel.
The meeting was attended by the Federal Minister for Investments, Qaiser Ahmed Sheikh, who participated virtually along with federal secretaries and senior officials of the concerned ministries, departments and regulatory agencies.
