The Real Estate and Housing Association of Bangladesh (REHAB) has urged Bangladesh Bank to create a special fund of Tk 30 billion to sustain the country's housing sector amid the impact of the war in the Middle East.Leaders of the organisation raised the demand on Tuesday after meeting newly appointed Bangladesh Bank Governor Mostaqur Rahman at the central bank's head office.According to a press release issued by REHAB, a delegation led by its President Md Wahiduzzaman briefed the governor on the current state of the housing sector and stressed the need for policy and financial support from the central bank, according to bdnews24.com.REHAB leaders said the housing sector is a key component of the national economy, with more than 250 industries directly and indirectly linked to it.They noted that rapid urbanisation and population growth have been steadily increasing the demand for housing.However, they said recent global instability and the war situation have driven up construction material costs, created financing difficulties and fuelled market uncertainty.In this context, REHAB called for the urgent formation of a Tk 30 billion special fund to keep ongoing projects running and sustain activity in the housing sector.Leaders said such a fund would help construction work continue despite the economic pressures stemming from the war situation.They also underscored the importance of introducing long-term housing loans at low interest rates for middle and lower-middle-income groups.The proposal included launching a special fund or refinancing scheme to provide 30-year housing loans at single-digit interest rates.REHAB's demand letter stated that long-term housing financing could be facilitated by establishing a strong mortgage bank similar to those in other countries.The organisation also sought policy guidance from the central bank to simplify housing loan approval processes in banks and reduce processing time.REHAB proposed introducing a "First Home Buyer Scheme" for first-time buyers, calling for reduced down payments and easier loan conditions.The proposal also emphasised incentives for environmentally friendly housing projects, including special financing facilities to boost investment in green buildings, solar energy and sustainable construction systems.REHAB further suggested providing low-interest loans for housing projects in district and Upazila towns to ease development pressure on Dhaka.In addition, the organisation demanded that the housing sector be recognised as a "productive sector".It argued that despite employing around 4 million people, the housing and construction sector is currently classified as unproductive in Bangladesh Bank's list.After the meeting, REHAB leaders handed over a letter to the governor and expressed hope that the central bank would extend necessary policy and financial support in view of the sector's importance.

Source: bd News24 March 10, 2026 16:27 UTC