PM’s ‘Apna Ghar’ Scheme Faces Potential Constitutional Hurdle

The government’s Rs3.2 trillion Apna Ghar Programme plans to finance 500,000 housing units across Pakistan. However, legal experts warn that it may conflict with the constitutional deadline to eliminate interest-based banking by January 1, 2028.

Officials say the issue becomes clear when they compare the scheme’s structure with constitutional requirements.

Financing Plan Extends Beyond 2028

The government will roll out the programme over five years. It will start with Rs321 billion in the first year to support 50,000 housing units.

However, this timeline means new interest-based loans will continue after the 2028 deadline. That raises concerns about compliance with constitutional limits.

Read more:Apna Ghar Program 2026: Loan Limit, Markup, and Key Details

Long-Term Loans Deepen the Issue

Each loan under the scheme will run for up to 20 years. Borrowers will continue repayments well beyond 2028.

This structure effectively extends interest-based financing for decades. Critics say this creates a legal contradiction.

Interest Structure Raises Concerns

The scheme applies a fixed 5% markup for the first 10 years. After that, it shifts to market-based rates.

Experts argue this model keeps conventional interest-based banking in place. They say it also moves away from the planned financial transition.

Officials and Reactions

Sources say policymakers may have overlooked the constitutional implications while designing the programme. The Information Minister, Attaullah Tarrar, did not respond to requests for comment.

Prime Minister Shehbaz Sharif launched the programme earlier this week. He called it a “sacred obligation” and linked it to economic growth.

The scheme offers loans of up to Rs10 million with repayment periods of 20 years. It will operate nationwide, including Azad Jammu and Kashmir and Gilgit-Baltistan.

Outlook

Experts warn that the programme could face legal and constitutional challenges if it continues in its current form. They suggest shifting toward interest-free or Shariah-compliant financing before 2028.