The following policy recommendations are made. The Federal government should expand the area of the Capital Territory in order to meet the housing shortfall in Islamabad. New technology and innovations for the construction of housing units should be introduced in order to make this sector globally competitive and financially affordable. Foreign and domestic investors should be encouraged to invest in the infrastructure of housing i.e. roads, bridges, and the energy sector in order to facilitate the housing sector. The Capital Development Authority (CDA) should acquire land at market rate and after development sells it at market rate to avoid unnecessary legislation and delay.
The CDA should develop the housing sector in the given timeframe e.g. 3 to 5 years; otherwise, these would be developed by private developers. The CDA should fix the time limit for the construction of houses in new housing schemes to discourage fake investors and promote genuine buyers, who usually cause artificial hikes in plot prices. In the housing and construction industry, around 40-50 big and small allied industries are directly associated and connected e.g. Cement, bricks, steel, wood, glass, paint, plastic, etc. Promoting the housing sector shall result not only revival of these industries and the economy as well but also create more skilled and unskilled employment opportunities which would reduce poverty. It must be ensured that new housing sectors should be far away from industrial estates in order to avoid environmental problems.