Islamabad: The Government of Punjab has proposed the establishment of an affordable housing project along with requesting the World Bank’s (WB) support for the formulation of a comprehensive provincial housing strategy and policy to facilitate housing for low-income groups, according to a news report published today (June 29).
The project cost is estimated at USD 350 million, out of which USD 300 million will be provided by the WB’s International Development Association (IDA). The WB will evaluate the proposal after the COVID-19 pandemic situation is stabilised.
Moreover, the housing project will also address the demand-supply conundrums of the housing value chain. The said solutions will be replicated in other provinces after successful implementation. The project proposal suggests that to provide affordable housing in Punjab, a long-term and multi-pronged approach is required. It will cover access to land with basic infrastructure, construction, building and planning regulations, and end-user finance.
Additionally, the proposal suggests the government to switch from acting as a ‘housing provider’ to a ‘market enabler’. This development will incentivise the private sector to support affordable housing value-chain segments.