Lahore | ReNews Pakistan
The Government of Punjab has launched a comprehensive revision of property valuation rates in a strategic effort to attract investment from Gulf countries, particularly the United Arab Emirates (UAE), and to revive momentum in the province’s real estate sector.
According to official sources, the initiative is designed to reduce the gap between government-declared property values and prevailing market prices. Authorities believe this disparity has long discouraged investment, increased transaction friction, and created tax burdens that particularly affect overseas Pakistanis and foreign investors.
The proposed changes were discussed during high-level meetings between Punjab government officials and representatives of the UAE business community. During these discussions, both sides reportedly emphasised the need for a more transparent and predictable valuation system to restore investor confidence and stimulate cross border real estate activity.
Officials said the revised valuation framework will initially focus on major urban centres and key investment corridors, where property transactions have slowed in recent years due to rising taxes, regulatory complexities, and widening differences between official and market-based valuations.
In addition to revising property rates, the provincial government is also considering broader reforms aimed at simplifying property transactions. These measures include reducing procedural bottlenecks, improving documentation systems, and creating a more streamlined environment for overseas buyers.
The real estate sector in Pakistan has been under pressure due to a combination of factors, including increased taxation, higher construction costs, and declining purchasing power among domestic buyers. Industry stakeholders have repeatedly urged authorities to rationalise property valuations in order to revive demand and attract fresh capital inflows.
The finalised valuation structure is expected to be announced after consultations with relevant government departments and key market stakeholders. Officials hope the reforms will not only stabilise the real estate market but also position Punjab as a more competitive destination for Gulf-based investment.

Karachi | ReNews Pakistan
The National Accountability Bureau (NAB), Karachi, has frozen four major properties linked to Bahria Town Private Limited following orders of the Accountability Court. The action was taken on May 7, 2026, under the Anti-Money Laundering Act, 2010.
According to sources, investigations have revealed that the said assets were allegedly acquired through funds generated via money laundering. NAB has frozen Bahria Icon Tower located in the upscale Clifton area of Karachi, where evidence reportedly suggests money laundering of approximately Rs 8 billion. The property was allegedly registered under a fictitious company, “Galaxy Construction.”
Similarly, Bahria Town Tower on Tariq Road, Karachi, has also been frozen. Reports suggest that the project was registered under a nominee or benami frontman.
Expanding the scope of its operation beyond Karachi, NAB has also frozen 817 kanals of land owned by “Lifestyle Private Limited” in Sheikhupura and 2,029 kanals of land belonging to “Lifestyle Development” in Peshawar. These lands were reportedly allocated for the Bahria Town Peshawar project.
Investigations have identified these entities as alleged front companies used for the transfer of illegal funds and financial irregularities.

Islamabad | ReNews Pakistan
Investigations into the Islamabad Cooperative Housing Society (ICHS) scandal have revealed what is being described as one of the largest housing frauds in Pakistan’s history, where plot files were allegedly sold far beyond the available land capacity.
According to investigations conducted by the National Accountability Bureau (NAB) Rawalpindi and NAB Islamabad, the society’s approved layout plan and available land bank could accommodate only around 6,000 plots. However, former management officials and alleged facilitators reportedly issued nearly 42,000 plot files.
The inquiry further revealed that nearly 36,000 files had no corresponding land and lacked clear legal status. Officials said thousands of citizens were allegedly sold plot files for land that either did not exist, lacked legal approval, or were never properly documented.
Sources said the massive discrepancy between the society’s land bank and the number of files issued points towards organized financial misconduct, including fake allotments and the sale of duplicate files. Preliminary investigations have already uncovered financial irregularities exceeding Rs 16 billion, while officials believe the amount could rise significantly as further records and transactions are scrutinized.
NAB authorities confirmed that seven suspects linked to the former management committee and a private land dealing company have been arrested in connection with the case. Those arrested include former Secretary General Mehdi Khan Shakir, former Treasurer Malik Muhammad Nawaz, former Executive Member Muhammad Arshad, and four individuals associated with Land Stock Dealing Point Company Munir Akhtar, Ali Mahmood, Yameen Malik and Ghulam Jailani.
Meanwhile, the Accountability Court in Islamabad has granted NAB a seven-day physical remand of the accused to facilitate further investigation, recovery of documentary evidence, and tracing of financial transactions.
Investigators said the scope of the case is expected to widen further as multiple teams examine the role of other individuals linked to the society’s administration, land management and financial affairs. Officials added that more arrests are likely as the investigation progresses.

Islamabad | ReNews Pakistan
The National Assembly Standing Committee on Finance was informed that more than Rs 5 billion in subsidised loans had so far been disbursed to 1,845 beneficiaries under the Prime Minister’s Apna Ghar Programme, while plans are underway to facilitate the construction of 500,000 housing units across the country over the next four years.
During the committee meeting, the Federal Secretary Finance, Secretary Housing and Works, and Secretary Law and Justice briefed members on the implementation framework of the Prime Minister’s Apna Ghar Programme, the state of housing finance, and proposed reforms to foreclosure laws.
The Secretary Housing and Works told the committee that the Apna Ghar Programme is a subsidised housing finance scheme aimed at enabling middle- and low-income groups to acquire their own homes. Under the scheme, first-time homebuyers are eligible for loans of up to Rs 10 million at a fixed markup rate of 5 percent, repayable over a period of 20 years. The financing ratio has been set at 90:10.
The committee was informed that as of April 30, 2026, a total of 25,304 applications had been received, of which 8,990 had been approved. The value of approved loans has exceeded Rs 37.15 billion, while more than Rs 5.07 billion has already been released to 1,845 successful applicants.
Officials from the Ministry of Housing told lawmakers that Pakistan’s housing finance sector remains significantly underdeveloped, largely due to legal and recovery-related concerns faced by banks and financial institutions. According to officials, meaningful growth in mortgage financing would not be possible without reforms to foreclosure and loan recovery laws.
The briefing further stated that the proposed reforms are intended to reduce banking sector risks, restore investor confidence, and ensure sustainable growth in the housing finance sector, enabling financial institutions to expand lending for home construction and purchases.
The standing committee stressed the need for comprehensive structural reforms, an effective regulatory framework, and modern mortgage financing models to address the country’s growing housing demand. Committee members observed that stronger legal protections and a transparent recovery mechanism would not only boost confidence in the banking sector but also help make home ownership a reality for ordinary citizens.

Islamabad | ReNews Pakistan
The federal government is moving to strengthen Pakistan’s mortgage recovery framework by proposing legal amendments that would allow commercial banks to repossess mortgaged homes after borrowers remain in default for 90 days.
The proposed changes are part of amendments to the Financial Institutions (Recovery of Finances) Ordinance, 2001, currently under review by the National Assembly Standing Committee on Finance and Revenue.
Under the draft mechanism, banks would be required to issue three separate notices of 30 days each to borrowers who fail to make mortgage payments. If the borrower does not clear outstanding dues after the final notice, the bank would be permitted to proceed with the sale of the property, provided all legal requirements are met.
The issue came under discussion during a meeting of the parliamentary finance committee in Islamabad chaired by Syed Naveed Qamar, where lawmakers raised concerns that the proposed law could give financial institutions excessive authority in foreclosure cases.
Committee members stressed that while stronger recovery laws are necessary to expand mortgage financing and improve banks’ confidence in long-term lending, borrower protections must remain central to the legal framework.
Following extensive deliberations, the committee deferred the bill for further review and directed the Ministry of Housing and Works to circulate a revised draft before the next meeting.
Speaking during the session, Qamar said affordable housing finance should genuinely benefit low income families through transparent and inclusive mechanisms. He added that effective foreclosure laws are essential for strengthening Pakistan’s weak mortgage finance sector and encouraging banks to increase lending for housing.
Officials from the ministries of finance, housing and works, and law and justice briefed lawmakers on the Prime Minister’s Apna Ghar Programme and the proposed reforms linked to housing finance.
Housing Secretary Captain (retd) Mehmood Ahmad told the committee that the Apna Ghar Programme is a subsidised housing initiative designed to help low and middle income families purchase homes while also stimulating economic activity and supporting the construction industry.
Approved in August 2025 and revised in March 2026, the programme offers financing of up to Rs 10 million to first-time homebuyers at a fixed markup rate of 5 percent for up to 20 years, with a financing ratio of 90:10.
As of April 30, 2026, the programme had received 25,304 applications. Authorities approved 8,990 applications worth Rs 37.15 billion, while Rs 5.07 billion had been disbursed among 1,845 beneficiaries.
Government Aims to Finance 500,000 Homes Despite Limited Fiscal Space Government officials informed the committee that Pakistan’s housing finance market remains severely underdeveloped, with mortgage financing accounting for just 0.3 percent of GDP and 0.56 percent of total private sector credit.
The government has set a target of financing 500,000 housing units over the next four years, a plan estimated to require nearly Rs3.2 trillion in funding.
Finance Secretary Imdadullah Bosal acknowledged that the government currently lacks the fiscal space to directly finance the initiative. He said funding would need to be arranged through fiscal adjustments because the housing programme remains a priority for the prime minister.
Bosal added that subsidy schemes may need to be reviewed and allocations under the Public Sector Development Programme (PSDP) could face further reductions if necessary.
Officials argued that reforms in foreclosure and recovery laws are essential to reducing risks for banks, improving investor confidence, and creating sustainable growth in Pakistan’s mortgage market.
However, lawmakers questioned whether Pakistan’s housing finance ecosystem is sufficiently developed to support such ambitious targets without broader structural reforms, stronger recovery mechanisms, and a more supportive regulatory framework.
Committee members also expressed concern over the limited access to housing finance for low-income families, rural communities, and workers employed in the informal sector. Several lawmakers questioned whether commercial banks currently possess the institutional capacity to finance half a million housing units within four years.
The committee recommended that the federal government and the State Bank of Pakistan simplify financing procedures, adopt more flexible eligibility criteria, and expand subsidy support for underserved segments of society.
According to the Ministry of Law, the revised amendments include several structural changes based on stakeholder feedback, including the insertion of a dedicated Section 15A specifically for housing finance rather than applying the provisions broadly to all mortgage agreements.
The updated draft also allows financial institutions to reschedule, restructure, or settle mortgage liabilities at any stage before the sale of a mortgaged property.
Officials said the proposed reforms are intended to ensure timely loan recovery, fair treatment of borrowers, and transparent enforcement of financial claims while improving efficiency in Pakistan’s housing finance sector.