ECC approves low-cost housing scheme revisions, Thar coal railway grant

ISLAMABAD: The Economic Coordination Committee (ECC) chaired by Finance Minister Muhammad Aurangzeb on Friday approved revisions to the low-cost housing scheme and cleared infrastructure support measures, including an increase in loan limits and a technical supplementary grant for the Thar coal railway project.

According to a statement issued by the Finance Ministry, the housing scheme has so far received more than 10,594 loan applications, with payments under way for various approved cases.

Under the revised framework, the loan ceiling has been enhanced to Rs10 million per applicant, while the size of residential units eligible under the scheme has also been increased. A uniform interest rate of five per cent will now apply to all loans, and previously approved loans will be adjusted to the new rate.

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The ECC said subsidy payments would be linked to actual disbursed loans and managed within the annual fiscal subsidy envelope. The scheme will continue to operate under procedures set by the State Bank of Pakistan.

Separately, the committee approved a technical supplementary grant of Rs6.61 billion for the Thar coal railway project, aimed at transporting locally mined coal to power plants and industrial units to strengthen domestic energy supply.

The ECC said the decisions form part of broader efforts to promote affordable housing and develop indigenous energy resources to support sustained economic growth.