ISLAMABAD, Oct 14: The government has reduced the number of documents required for housing finance under the Prime Minister’s Apna Ghar Scheme from 25 to just five, while limiting application processing time to 15 working days.
The measures were disclosed during a high-level meeting chaired by Prime Minister Shehbaz Sharif to review access to financing for housing, small and medium enterprises and the agriculture sector.
The meeting was informed that banks were strengthening their institutional capacity to expand lending in all three priority sectors, while work was also underway to promote developer financing. A committee has already been constituted to advance proposals in this area.
Officials told the prime minister that 75,198 housing loans worth Rs448 billion had so far been approved under the Apna Ghar Scheme.
Of these, loans worth Rs76 billion have already been disbursed to 14,000 beneficiaries.
The government has set a target of providing Rs700 billion in financing for 125,000 housing units during the current year.
To simplify access to housing finance, the number of required documents has been cut from 25 to five, while the processing period for applications has been reduced to 15 working days.
The prime minister also directed authorities to make the submission of applicant information easier and simplify the process for obtaining unencumbered title deeds required for housing finance.
Agricultural Lending Reaches Rs1.35 Trillion
The meeting was informed that total agricultural lending has reached Rs1.352 trillion, benefiting around 3.455 million people.
The government has set a target of increasing agricultural credit to Rs1.5 trillion by June 2027, with the number of beneficiaries expected to rise to 4.5 million.
SME Financing Tops Rs1.13 Trillion
More than 352,000 small and medium-sized businesses have received financing worth Rs1.137 trillion, according to the briefing.
By June 2027, the government aims to increase SME financing to Rs1.5 trillion and expand the number of borrowing enterprises to 575,000.
Officials said revised regulations for SMEs and measures to further streamline housing finance procedures were also being developed.
Prime Minister Shehbaz said timely access to credit for housing, agriculture and SMEs was essential for supporting economic growth.
He appreciated banks that had actively participated in lending to the priority sectors and urged institutions showing weaker performance to improve their contribution.
The prime minister directed relevant ministries, secretaries and the State Bank of Pakistan to consult stakeholders from the housing, agriculture and SME sectors and obtain recommendations for improving existing schemes.
The consultation process is to be completed by the end of the month.
PM Orders Better Use of PASSCO Warehouses
Shehbaz also directed authorities to operate inactive PASSCO warehouses and silos through public-private partnerships.
He said cooperation with the private sector should be used to increase storage capacity and help farmers safely store agricultural commodities.
The prime minister praised Allied Bank’s model of establishing commodity warehouses and providing loans to farmers against stored produce, directing that the model be expanded with greater private-sector participation.
He also welcomed Allied Bank’s proposed investment plan for establishing an SME park.
The prime minister further directed the committee working on developer financing to finalise and submit its recommendations at the earliest.