The Capital Development Authority (CDA) is undergoing a financial crisis, partly because it is sharing the financial burden of the Municipal Corporation of Islamabad, which was created recently. Furthermore, the slowdown in market activity has also contributed to the financial crunch.
Amid all this, the civic authority has planned to launch two new sectors to increase its revenue. On the other hand, the authority is also planning to increase property transaction charges. It has been estimated that the authority can earn up to Rs 20 billion by launching Sector C-15 and Sector C-16.
According to a news source, the CDA finance wing has explained the situation to the mayor of Islamabad and has also given suggestions to generate more revenue. In a letter written to the mayor, the finance wing stated that the CDA had failed to earn budgeted revenue over the last several years, making it difficult for the authority to meet its expenses and pay off its outstanding liabilities.
Private housing schemes may also be required to pay a certain fee, according to the proposal. The civic authority plans to levy a transfer fee on individual units purchased or sold in high-rise buildings and commercial developments, claiming that all units in such projects are traded without any involvement of the authority.
On the other hand, the CDA has offered to survey leases of the its land in various sectors in order to check if any renewals are required. The authority expects that it can generate up to PKR 1,000 million to PKR 2,000 million through this initiative.
In the letter written to the mayor, the finance wing has suggested that the estate wing of the authority should make quarterly plans for the auction of properties in the federal capital. Reportedly, the estate wing has not been able to auction any property even in the second quarter of the financial year and the total revenue the CDA plans to earn from this source is PKR 6 billion.
The letter also stated that the authority has sold plots in the developed sectors to compensate the affectees of Sector H-16 and Sector I-17, which according to the finance wing is not the prudent use of money.
The CDA management is planning to take some concrete measures to increase its revenue. Let’s see how the future unfolds for the civic authority.
If you want to add to this information, please feel free to share your views in the comments section below.
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why is CDA so slow in developing new sectors. It has been decades since CDA developed sectors? Seems CDA is sleeping. C,D and E sectors should have had been developed at-least till C15, D15,E15. too much corruption has eaten CDA from inside.
CDA sleeping for decades. They have to develop new sectors .Sectors D13,D14 ,E13,E14 should have been developed. Why is CDA jumping to C15 and C16 instead of developing in an order. too much corruption in CDA.
Zone 1 of CDA should have been developed by now. The master plan of CDA was created a long time ago. But CDA is too corrupt and lazy of a institute to develop new Sector.
why not first develop I-15, I 14, I-12, that’ why its related to poor people low income people . It only for rich people first should be develop old sectors then go for new
very very bad
cda took 30 yrs to develop d12
cda took 30 yrs to develop cda sector d 12
Private/Public partnership can solve the issues. CDA can give out the land to private developers on build and operate basis, and share the benefits jointly.
After every 1-2 years, CDA announced that two new sectors is about to launch, but then khamoshi, this is, I think 3rd 4th time since Gailani’s PM ship.
CDA should first complete unfinished sectors in Zone-1 before juming to other Zones. For the last 25 years I-11 is waiting to be developped. Though it was occupied by Afghani immigrants but they have been eradicated since a year now. However until now I-11/1 has not been develpped and handed over to original owners.
Hello
Anybody has any info regarding D-13, is it safe investement. Has CDA aquired it or still pending.
regards