KARACHI: The Pakistan Mortgage Refinance Company (PMRC) has signed an agreement to provide loans worth Rs4.8 billion for the provision of low-cost housing under the programme initiated by Prime Minister Imran Khan.
In a ceremony held recently at the Pakistan Housing Conference in Islamabad, the PMRC signed agreements and memoranda of understandings worth Rs4.8bn with House Building Finance Company, Askari Commercial Bank, First Women Bank, Bank Islami and Khushali Microfinance Bank, said a press release issued by PMRC.
The PMRC already disbursed loans worth Rs5.2bn for low-cost housing during the first five months of this fiscal year.
During the event, the prime minister remarked that providing five million houses in five years is an ambitious target; keeping in view of lack of necessary infrastructure and inefficient foreclosure laws due to which banks are reluctant to provide mortgage loans.
“The government is fully determined to meet the existing demand of 10m houses in the country for which it is working closely with State Bank of Pakistan and World Bank to resolve implementation challenges,” the premier added.
Commenting on the accessibility to housing in the country, World Bank Country Director Illango Patchamuthu said that it takes around 25 years for an individual in Pakistan to own a house compared to global average of five years. He added that World Bank has provided $140m for housing finance in Pakistan through PMRC.