ISLAMABAD: Minister for Housing and Works Mian Riaz Hussain Pirzada on Friday emphasised the significance of the housing sector as a driver of economic growth and social equity.

Chairing a meeting of the task force on housing sector formed by the prime minister, the housing minister highlighted the government’s steps in identifying the growing demand-supply gap, promoting affordable housing and encouraging vertical development to counter urban sprawl. The task force meeting was also attended by Finance Minister Mohammad Aurangzeb.

According to a press release, the task force meeting reaffirmed the government’s commitment to addressing critical challenges in the housing sector, aligning with the prime minister’s vision of inclusive and sustainable development.

Prime Minister Shehbaz Sharif had constituted a dedicated task force for the development of the housing sector to revitalise this crucial industry. Through this move, the government, according to the press release, aims to implement major policy incentives, fostering growth, affordability and accessibility in the housing market.

The press release said during the meeting, the task force deliberated on innovative strategies, including urban planning reforms, rationalising taxation on real estate sector and construction inputs, and enhancing access to finance for low- and middle-income groups. The finance minister underscored the importance of financial inclusion and public-private partnerships to accelerate housing development.

Private members highlighted that federal and provincial taxes on housing and construction have increased by up to 26pc, urging that these taxes be rationalised to ease the burden on the sector.

In response, the finance minister said all suggestions and recommendations would be thoroughly considered, emphasising the importance of resolving these issues.

The minister stressed that restoring confidence in the housing sector was essential for ensuring its long-term sustainability and contributing to the broader goal of sustainable economic development.

The task force announced the formation of four dedicated working groups to address key focus areas: growth framework for housing, urban planning and regulation, taxation issues, and access to finance. These groups will ensure a coordinated approach by incorporating previous work, and ensuring consistency in policy and implementation.

According to the housing ministry, the task force is set to submit actionable recommendations to the prime minister within a month, focusing on short, medium, and long-term measures to spur growth in the housing sector.

Published in Dawn, December 28th, 2024