Pakistan Finance Minister chairs meeting to boost REIT growth and review tax and regulatory reforms

Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb chaired a virtual meeting on Friday of the Focus Group on Incentivizing and Facilitating the Growth of Real Estate Investment Trusts (REITs).

The session brought together public and private sector stakeholders to discuss reforms aimed at strengthening Pakistan's REIT framework and deepening capital market development. Pakistan currently has 28 registered REIT schemes as of January 2026.

What reforms were discussed at Pakistan's REIT growth meeting?

The meeting reviewed three broad areas: improvements to the taxation framework, streamlining of regulatory and approval processes, and measures to boost investor participation, particularly from retail investors. Stakeholders called for a stable, predictable environment to support long-term REIT sector growth. The SECP, REIT issuers, market participants and the Tax Policy Office were each assigned specific workstreams to take forward.

What challenges does Pakistan's REIT sector face?

Stakeholders acknowledged that while Pakistan's REIT market has seen early progress, significant untapped potential remains. Procedural bottlenecks, limited regulatory clarity, and weak inter-agency coordination were identified as the main barriers to further development. Participants stressed the need to align Pakistan's REIT framework with international best practices while keeping reforms practical and straightforward to implement.

The Finance Minister said REITs serve as an important mechanism for channeling real estate investment into productive economic activity. He added they support documentation of the economy, promote formalization in the real estate and construction sectors, and improve overall capital allocation efficiency. Discussions also focused on improving awareness of REIT instruments and strengthening secondary market liquidity to support smoother investor entry and exit.

What did the Finance Minister commit to on REIT reforms?

Aurangzeb reiterated the government's commitment to a coordinated, outcome-oriented reform approach focused on actionable steps within existing institutional structures. He reaffirmed that the policy environment would remain facilitative, transparent and predictable to encourage investment and support innovation. The meeting concluded with consensus on continued stakeholder engagement and timely follow-up on the identified reform areas.

Who attended the REIT focus group meeting?

The session was attended by leading private sector figures including Arif Habib, Chief Executive of Arif Habib Corporation; Nadeem Riaz, Chief Executive of Dolmen Group; and Ali Jameel, Chief Executive of TPL Corp.

Representatives from the SECP, Ministry of Housing and Works, Tax Policy Office and Ministry of Finance also participated. The meeting forms part of the government's broader 2026 agenda to expand the corporate debt market and accelerate capital market reforms through the Capital Market Development Council.