ECC approves loan for low-cost housing scheme

ISLAMABAD: The Economic Coordination Committee (ECC) chaired by Finance Minister Muhammad Aurangzeb on Friday approved low-cost housing scheme and infrastructure grants, including an increase in loan limits and a technical supplementary grant for the Thar coal railway project

According to a statement from the Finance Ministry, the housing scheme has received more than 10,594 loan applications so far, with payments under way on various approved requests.

Under the revised scheme, the loan limit has been raised to Rs10 million per applicant, the size of residential units has been increased, and a uniform interest rate of 5 per cent will be applied to all loans previously approved loans will be adjusted to the new 5 per cent rate and subsidy payments will be linked to actual disbursed loans and adjusted within the annual fiscal subsidy envelope.

The ECC said the scheme will continue to be implemented under the State Bank of Pakistan’s procedures.

In addition, the ECC approved a technical supplementary grant of Rs6.61 billion for the Thar coal railway project, which aims to supply local coal to power plants and industrial units

The committee said the approvals are part of ongoing efforts to boost affordable housing and develop domestic energy resources, supporting broader economic growth.