ISLAMABAD, Oct 7 (APP): Federal Minister for Planning, Development and Special Initiatives Professor Ahsan Iqbal on Wednesday called for promoting vertical development and modernizing construction practices to address Pakistan’s growing housing needs while protecting agricultural land from unchecked horizontal expansion.
He was addressing a meeting of the eighth National Economic Mission under the “Uraan Pakistan” framework, focusing on the Housing, Construction and Real Estate Market Activation Mission.
The minister said Pakistan must activate every sector of the economy to achieve the vision of a US$ one trillion economy, stressing that sustainable economic growth would not be possible without a significant and sustained increase in exports.
He said Pakistan must enhance its export potential and increase the capacity of its productive sectors, adding that achieving US$ 100 billion in exports by 2035 would be essential for attaining greater economic self-reliance.
Ahsan Iqbal said the real estate and construction sectors were the backbone of any economy, as they were linked with multiple industries and generated significant employment opportunities.
The presentation highlighted that construction supported 72 allied industries and accounted for approximately 9.5 per cent of national employment.
He noted that Pakistan was facing a serious housing challenge, with population growth increasing demand while a large segment of the population remained without adequate housing facilities. The country’s urban population increased from approximately 76 million in 2017 to 94 million in 2023, while annual housing demand was estimated at 700,000 units against a supply of 250,000 units, leaving an annual shortfall of approximately 450,000 homes.
The minister emphasized the need to promote vertical development and better utilize limited land resources, while protecting agricultural land from unchecked horizontal expansion.
Figures presented at the meeting showed that built-up areas increased by 104 per cent in Islamabad, 59 per cent in Lahore, 43 per cent in Karachi, 44 per cent in Peshawar and 72 per cent in Quetta between 2005 and 2022.
He said Pakistan needed to modernize construction practices by introducing new technologies, innovation and more efficient building methods.
Ahsan highlighted Pakistan’s strong pool of skilled and technical human resources, noting that Pakistani workers had demonstrated their capabilities in the construction sector across the Middle East.
However, he said Pakistani construction companies must also build a strong international presence and compete in global markets.
The minister stressed that the public and private sectors must work together to build a stronger economy, while continuity of policies and political stability were essential for sustainable economic development.
He said the private sector must become the engine of growth, adding that Pakistan was already producing quality construction materials and should now focus on developing projects capable of generating exports and foreign exchange.
The minister emphasized that the construction sector should not remain limited to meeting domestic requirements but must also be developed as a source of exports, investment and foreign exchange earnings.
Member Planning Commission Waqas Anwar briefed the meeting on the proposed housing, construction and real estate reform framework.
The presentation outlined proposed targets of 300,000-400,000 housing units annually under the House Ownership Plan for Everyone and increasing mortgage finance from below 0.5 per cent of GDP to five percent by 2035.
It also envisaged digitizing land records, permits, valuations and transfers by FY2029, alongside one-window construction approvals, incentives linked to verified construction milestones and secure escrow payments for property transactions.
Source: APP (Associated Press of Pakistan)
