Pakistan expands Apna Ghar housing finance to include NBFCs

The federal government of Pakistan approved an expansion of the Prime Minister's Apna Ghar housing finance programme, allowing non‑banking finance companies (NBFCs), investment finance firms and non‑bank micro‑finance companies to participate. Under the new framework, these institutions can grant home loans of up to Rs 10 million (Rs 1 crore) and micro‑finance firms up to Rs 5 million, with a fixed subsidised markup of 5 % for the first ten years of a loan term that can extend to 20 years.

The move, announced through SECP Circular No. 16 of 2026 and ratified by the Economic Coordination Committee and the federal cabinet, aims to widen access to affordable housing finance for low‑ and middle‑income households, especially in remote areas where traditional banks have limited reach. By leveraging the broader digital and outreach networks of NBFCs, the scheme is expected to increase home‑ownership opportunities, stimulate construction activity, and create jobs across the country.