New policy targets affordable housing, better access to housing finance and improved urban settlements as Pakistan faces a housing shortage of around 13 million units.
ISLAMABAD: The Ministry of Housing and Works, in collaboration with UN-Habitat Pakistan, has launched the National Housing Policy 2025, marking Pakistan’s first major national housing policy update in nearly 25 years.
The policy was formally unveiled at the National University of Science and Technology (NUST) in Islamabad by Federal Minister for Housing and Works Mian Riaz Hussain Pirzada. Federal Minister for Climate Change and Environmental Coordination Dr Musadik Masood Malik, NUST Pro-Rector Dr Osman Hasan and Housing and Works Secretary retired Captain Mohammad Mehmood also attended the launch.
The new policy comes as Pakistan faces an estimated housing shortage of around 13 million units. According to the housing ministry, the framework has been designed to address the country’s changing housing and urban development requirements while promoting adequate, affordable and sustainable housing.
Focus on affordable housing and finance
Housing Minister Mian Riaz Hussain Pirzada said the policy focuses on increasing the supply of affordable homes, improving land tenure security, expanding access to housing finance and upgrading informal settlements.
He said the key priority following the policy’s launch would be its effective implementation, along with stronger coordination between relevant institutions and the development of more sustainable and resilient human settlements.
The minister also highlighted the Wazir-i-Azam Apna Ghar Programme — Ghar Ho To Apna, under which around Rs65 billion has so far been disbursed to first-time homebuyers across Pakistan.
The programme is being presented as an important part of the National Housing Policy’s action plan, particularly for improving access to affordable housing finance for low- and middle-income families.
Up to 90pc financing support highlighted
Climate Change and Environmental Coordination Minister Dr Musadik Masood Malik said the housing policy also recognises the relationship between housing, climate resilience, sustainable urbanisation and national development planning.
He said the policy aims to help reduce the country’s housing deficit of approximately 13 million units.
The minister further highlighted the government’s housing finance policy, saying it provides up to 90 per cent financing/equity support for home ownership, which could improve access to housing for aspiring homeowners, particularly those from low- and middle-income groups.
UN-Habitat Pakistan Country Programme Manager Waqar Syed stressed that adequate housing should be viewed as more than simply providing shelter, linking it with dignity, opportunity and resilient communities.
The policy launch also coincided with World Habitat Day 2026, observed on October 5 under the theme Adequate Housing for All.
The Housing Ministry said the next major challenge would be translating the policy framework into practical measures through sustained institutional coordination and implementation.
