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Assistance to the construction industry of Pakistan

Assistance to the construction industry of Pakistan

Presently, the Government of Pakistan stated that promoting Pakistan’s construction industry will provide a boost to the country’s economy and can create new career opportunities. It is said that Pakistan is a nonviolent state and every Pakistani is a free citizen and the government is bound to defend life and property of every citizen. The researchers said that the main obstacle to enhancing the condition of construction industry in Pakistan is revealed to be lack of expertise/resources in construction project management and its applied areas. Furthermore, a rigid attitude and behavior of executive management toward safety, quality and risk management, plus more management and emphasis on workers’ commitment toward project condition, well education and training to ran the improvement process, and tendency to cure the reason of the issue rather than the symptom. The researchers also viewed that if harmonization, cooperation, efficiency and industry performance in the long run is going to enhance, then widespread consciousness and training programs to enhance the customers’ sympathetic and approach toward construction project management must be started with no exception.

Statistics showed that real growth rate of Pakistan’s construction industry to average at 8.9 percent over the next 5 years. The researchers revealed that the construction industry has forever been of economic and social significance to the country. In distinction to the possible share of Pakistani construction within the native and international economic market, conversely, the progress in this industry has not been at par with the market demands. With the recent fast economic process of the country, they have also added that Pakistan currently offers a growing market for the development business. The Government of Pakistan has knowledgeable opportunity by designing intensive infrastructure growth programs. All of those programs have the potential to guide the native business to ascertain respect, standing and international recognition when the acceptable efforts are extended to attain identical. Even with the chance for growth the challenges are going to be intensive.

The present Government of Pakistan has planned, in principle; to accord the construction industry with the status of ‘industry,’ claiming this would raise the facilities obtainable to it. It is also directed the Competitive Commission of Pakistan to take steps to stop the creation of cartels that set unrealistic prices of raw materials related to this industry. The economic experts of Pakistan also recorded that enough progress had been made to address challenges of this industry along with the Association of Builders and Developers (ABAD) and other stakeholders in Pakistan. The government had also, as a first phase, assigned Rs. 25 billion for the Pakistan Housing Authority to enhance this industry even further.

Different sources also recorded that consensus had been attained on the future policy regarding fixed income tax for industries. A policy on construction of high-rise buildings had been planned and endorsed through the federal cabinet. Regarding the valuation of immovable properties, government officials recorded the Federal Board of Revenue will appoint a regional valuation committee in future that would include the expertise of ABAD and the real estate industry. Furthermore, Pakistan’s real estate industry has always been perceived as a solid and lucrative investment avenue – usually predicted to offer as much as a 100 percent return on investment (ROI) within a few years.



Furthermore, the tax liabilities were minimal, which led everyone from regular nine-to-fivers to speculative investors and overseas Pakistanis to purchase plots and homes in the hopes of rankings generous profits. This condition, however, is no longer in force. The experts revealed that the year 2018 proved to be a tough one for the industry; with its attempts continuing into the first half of 2019. The Government of Pakistan has also announced that it is a significant part of the government’s policy to use government property for construction projects targeting the low-income sector.

Demographic Indicators In Pakistan
Indicator 2018
Total population 212.82 Million (Approx.)
Population growth rate 2.4%
Contraceptive prevalence rate 34.2%
Unmet need of family planning 17.3%
Total fertility rate 3.6
Crude birth rate (per 1000) 25.2
Source: NIPS, Pakistan Demographic and Health Survey 2017-18, Ministry of Planning, Development and Reform,

The China-Pakistan Economic Corridor (CPEC) no doubt supports the growth of Pakistan’s construction industry. Because the Chinese involvement within the Pakistani construction market offer a positive top in terms of timeliness and execution, and still boost to growth of the development business within the close to future. Statistics show that out of the total projects, 13 projects worth almost 11 billion dollars have been completed, while 13 projects worth 18 billion dollars are under implementation. Another 21 billion dollar projects are in the pipeline. About 46 percent work on Gwadar East Bay expressway has completed, adding that New Gwadar International Airport is being built with the Chinese grant. Statistics also shows that Rs300 million was assigned for upgradation of 132 kilowatt grid station and electrification of villages in Chitral.


The present Government of Pakistan should start work more on the Public Sector Development Program and announced housing projects, which will boost the construction sector and create job opportunities for skilled and unskilled labour in the country.

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