Federal Government Issues New Instructions for Renting Private Properties – New Restrictions Implemented

The Ministry of Finance, Government of Pakistan has issued a new Office Memorandum in which the procedure for renting private properties for federal government offices has been tightened.

Important Instructions:

Now no ministry/division can charge rent for private property more than the prescribed limits issued by the Ministry of Housing and Works.

Prior approval is mandatory in case the rental rate exceeds the prescribed limit.

The process of giving ex post facto (later) approval has now been done away with.

New Procedure:

The application for renting property or increasing the existing rent should be sent only with the approval of the concerned Secretary.

The application should be sent through the Joint Secretary (Expenditure).

The application will not be accepted without the following documents:

Owner’s consent

Space requirement statement

Staff details approved by the Ministry of Housing and Works

Form signed by a Grade-20 officer

Property map

Copy of old lease agreement (if there is a rent increase)

Recommendations of the Joint Secretary

Note: In case of any deficiency in the documents, the application will be returned without review.

To read the detailed notification, click on the link given below:

[https://www.finance.gov.pk/circulars/circular_24102025.pdf]

This step has been taken to bring savings and transparency in government expenditure. All ministries/divisions are expected to strictly adhere to the instructions.