State Bank of Pakistan

Mera Ghar - Mera Ashiana Markup Subsidy and Risk Sharing Scheme for Affordable Housing Finance

September 24, 2025

563

The Presidents/Chief Executives

All Banks/HBFCL/MFBs

Dear Sir/Madam,

Mera Ghar - Mera Ashiana Markup Subsidy and Risk Sharing Scheme for Affordable Housing Finance

With a view to promote affordable housing finance, the Government of Pakistan has introduced a Markup Subsidy and Risk Sharing Scheme namely ‘Mera Ghar - Mera Ashiana’. The key features of the scheme are given below:

Parameters	Features
Eligibility Criteria	First time homeowners citizens of Pakistan holding CNICs. Not owning any housing unit in their name
Scope	Purchase of house/flat Construction of house on already owned plot Purchase of plot and construction of house
Size of Housing Unit	House of up to 5 Marla Flat/Apartment of up to 1360 sq. ft. area
Participating Financial Institutions (PFIs)	All commercial banks, Islamic banks, MFBs and HBFCL
Maximum Loan size	T1 = Up to PKR 2.0 Million T2 = Above PKR 2.0 Million and up to PKR 3.5 Million
Maximum Loan Tenor	20 years (subsidy for 10 years)
Bank Pricing	One Year KIBOR + 3%
Customer/end user fixed pricing	Tier 1: 5% Tier 2: 8%
Bank Charges	No processing cost No prepayment penalty
Loan to Value (LTV) Ratio	90:10 (90% loan & 10% equity)
Risk Coverage	10% of the outstanding portfolio under the scheme on first loss basis

The PFIs are advised to take necessary measures for proper dissemination of scheme through their branch network and other means. PFIs are further advised to gear up their systems for successful implementation of the scheme and to avoid any misuse of the scheme.
The mechanism for payment of markup and credit loss subsidy will be communicated in due course.
Please acknowledge the receipt.

Yours sincerely,

Najm us Saqib Shabbir
Additional Director