Regulatory Alerts2025-09-24 | SH&SFD Circular No. 03 of 2025Added · Updated
Mera Ghar - Mera Ashiana Markup Subsidy and Risk Sharing Scheme for Affordable Housing Finance
The Government of Pakistan introduces the Mera Ghar - Mera Ashiana Markup Subsidy and Risk Sharing Scheme to promote affordable housing finance. Eligible first-time homeowners can obtain loans up to PKR 3.5 Million with a maximum tenor of 20 years, subject to specific housing unit size limits and a 90:10 Loan to Value ratio. Participating financial institutions must apply a customer fixed pricing of 5% for Tier 1 loans and 8% for Tier 2 loans, while bearing no processing costs or prepayment penalties. The scheme includes a risk coverage mechanism where financial institutions assume 10% of the outstanding portfolio on a first-loss basis.