Rs 6 bln allocated to overcome shortage of housing units: Dar

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ISLAMABAD, May 26 (APP): Minister for Finance Muhammad Ishaq Dar
Friday said a risk sharing guarantee scheme to overcome shortage of housing units in the country will be launched and Rs 6 billion have been allocated for this purpose.
He while delivering his budget speech said there was shortage of over
1 million housing units in the country and every year an additional demand of 300,000 units is being added to this gap.
He said availability of long-term financing is a major hurdle as the
banks were shy of offering long-term financing.
In order to overcome this hurdle to housing loans, he said a
Risk Sharing Guarantee Scheme for low-income housing would be
launched.
Under this scheme, the government will provide 40 percent
credit guarantee cover to banks and DFIs for home financing for up
to Rs 1 million, he added.
He said it had been decided that this facility would also
be made available through micro-finance banks.