Muhammad Asif
After a hiatus of almost 25 years, the government has recently announced the National Housing Policy 2026, signalling a renewed national commitment to addressing Pakistan’s longstanding housing crisis. The policy is particularly important for rapidly growing cities such as Islamabad, where rising land prices, population growth and inadequate affordable housing have contributed to the expansion of slums and informal settlements.
The policy focuses on affordable and adequate housing, improved access to housing finance, availability of land, rental housing, public private partnerships, compact and vertical development, climate resilient housing, tenure security and upgrading of informal settlements. It seeks to create an enabling environment in which government, private developers and communities can work together to increase the supply of affordable housing, particularly for low and middle income households.
Of particular relevance to Islamabad is the policy’s approach towards slums and informal settlements. Rather than treating these settlements merely as encroachments to be demolished, they should be streamlined, upgraded and integrated into the formal urban fabric wherever feasible. This could include improved water and sanitation, roads, drainage, electricity, secure tenure and better quality housing. Where redevelopment is necessary, existing residents should be provided affordable apartments, preferably within or close to their existing communities. The policy itself favours upgrading over displacement and proposes stakeholder participation, financial sustainability and public private partnerships as part of urban regeneration.
There are precedents in Islamabad’s urban development history where informal settlements were successfully upgraded in line with the provisions of the Master Plan. Localities such as Margalla Town, Rawal Town and Humak Town were upgraded by CDA, demonstrating that the regularization and development of such settlements is both feasible and consistent with planned urban development.
A similar approach can be considered for localities such as Bari Imam, Said Pur and Malpur, which have historically been identified for upgrading in successive Master Plans and planning proposals of Islamabad. However, despite these commitments, the proposed upgrading has not yet been fully implemented. Building on the experience of previously upgraded settlements, these localities could be systematically surveyed, regularized and provided with essential infrastructure and civic amenities, while ensuring that development remains compatible with Islamabad’s broader planning and environmental objectives
Relocation, however, may be necessary where settlements occupy hazardous areas, natural drainage channels or environmentally sensitive locations. But relocation should never mean simply moving families to the outskirts. New housing must provide secure tenure, basic amenities, schools, healthcare, public transport and reasonable access to employment. Otherwise, displaced families may eventually return to informal settlements because the new location is economically unviable.
International experiences also demonstrate that this is achievable. Singapore addressed its slum problem through large scale public housing; Thailand adopted community driven upgrading; India has used in-situ redevelopment and public private partnerships; and Turkey’s TOKİ has combined public land with private construction and long term affordable payments.
Islamabad now has an opportunity to develop its own humane model of urban regeneration. Instead of repeatedly demolishing settlements, authorities should undertake proper surveys, identify genuine residents, develop affordable housing and use the value generated from mixed use and commercial development to cross subsidize housing for low income families. The objective should be to upgrade where possible, regenerate where appropriate and relocate only where necessary.
Development is necessary. But development becomes meaningful only when it improves human lives. Islamabad can modernize its land, infrastructure and skyline without losing sight of the people who clean its streets, build its homes, guard its institutions and serve its communities. A truly modern capital should not only be well planned and beautiful; it should also be inclusive, compassionate and worthy of the people who call it home.
Muhammad Asif
The writer is a civil servant with professional experience in public administration.
