RDA Finalises Rs8.76bn Budget with New Apartments, Multi Storey Projects and Housing Scheme Plans

The Rawalpindi Development Authority has finalised its Rs8.76 billion budget for fiscal year 2026 to 2027, after a delay of roughly two months, with the budget vetted by a finance sub committee headed by Rawalpindi Commissioner and RDA Director General Salman Ghani and now forwarded to the Punjab government for final approval. Notably, the budget includes no plan for the improvement of Murree Road, one of the district's most heavily used arterial corridors.

Where the Money Is Going

Of the total Rs8.76 billion allocation, Rs3.917 billion has been earmarked for ongoing and new development schemes across Rawalpindi. Within the property specific components, RDA has allocated Rs572 million toward residential apartments for government officials, Rs450 million toward constructing multi storey buildings on vacant RDA owned plots, and Rs368 million toward parking facilities across the city. The budget also sets aside funding for feasibility work on a new RDA Housing Scheme and on the long discussed Rawalpindi Master Plan, both of which remain at the planning and feasibility stage rather than approved, funded construction projects.

Why Murree Road's Absence Stands Out

RDA's own regulatory documentation describes the authority's core mandate as facilitating and continuously improving metropolis wide development works, facilities and services across Rawalpindi to modern standards, for both residential and commercial areas. Against that backdrop, the exclusion of any improvement plan for Murree Road, a corridor connecting central Rawalpindi toward Islamabad and onward to Murree itself, is a notable gap in this budget cycle specifically, even though the document otherwise commits meaningful funding toward apartments, multi storey construction and parking infrastructure elsewhere in the city.

RDA's Legal Basis and Jurisdiction

RDA was established in May 1989 under the Punjab Development of Cities Act, 1976, replacing the earlier Rawalpindi Improvement Trust, and began formal operations as an autonomous governing body in March 1992. The authority's jurisdiction spans Rawal Town and 64 other Revenue and Land Estates across Potohar Town, covering roughly 311 square kilometres, though it explicitly excludes the Cantonment Board area, which falls under separate jurisdiction. Beyond development planning and construction, RDA also regulates private and public housing schemes within its territory, publishing lists of approved, unapproved and illegal societies specifically to help the public avoid fraudulent land transactions.

Part of RDA's Broader Enforcement and Planning Activity This Year

This budget lands alongside a period of visible RDA enforcement activity in 2026. The authority's own recent public updates note demolition action against unauthorised construction in three separate illegal housing schemes, Green Enclave, Century Town and Taqwa Town, and a directive from RDA's Director General ordering immediate cancellation of all illegal allotments and sales within the University Town Housing Scheme. In July, RDA issued show cause notices to 13 housing schemes and sub divisions for illegal development, illegal plot booking and unauthorised marketing, citing Section 37 of the Punjab Development of Cities Act, 1976, under which daily penalties ranging from Rs5,000 to Rs20,000 can be imposed depending on a scheme's size. RDA Director General Salman Ghani has separately instructed the Metropolitan Planning and Traffic Engineering Directorate to continue taking action against unauthorised housing schemes, illegal commercial activity and encroachments without exception. Separately, RDA has been holding planning meetings specifically on land use around the Rawalpindi Ring Road corridor, following directions from the Rawalpindi Commissioner, connecting this budget's development allocations to the wider Ring Road linked growth planning milkiyat.com has covered in its earlier reporting on the Rawalpindi Ring Road's sixth missed deadline.

What Remains Pending

It is worth being precise about where this budget currently stands: it has been vetted by the finance sub committee and forwarded to the Punjab government, but final provincial approval has not yet been confirmed. Individual allocations, including the apartment, multi storey construction and parking budgets, remain subject to that approval before any of the funded work can formally proceed.

What This Means for Property Owners and Investors

The Rs450 million allocated for multi storey construction on vacant RDA plots signals a potential shift toward more vertical development on land the authority already owns, which could add new commercial or residential supply in specific locations once projects move from budget line item to actual construction. The Rs572 million for official residential apartments points to continued institutional housing demand tied to government employment in the twin cities. For property owners and investors along Murree Road specifically, the absence of any improvement allocation in this budget cycle suggests that corridor is unlikely to see RDA funded infrastructure upgrades in the coming fiscal year, a relevant factor for anyone evaluating property along that specific route. As with any budget still awaiting provincial approval, buyers and investors should treat these allocations as planned intentions rather than guaranteed, funded projects until Punjab government sign off is confirmed. Given RDA's parallel enforcement activity this year, anyone evaluating a purchase near a scheme funded or approved through this budget should also directly verify that scheme's legal status against RDA's own published list of approved and illegal housing schemes before proceeding, rather than relying on a developer's representation alone.

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Sources

1. Rawalpindi Development Authority, official website: https://rda.gop.pk/
2. Wikipedia, Rawalpindi Development Authority, background on formation, legal basis and mandate: https://en.wikipedia.org/wiki/Rawalpindi_Development_Authority
3. Rawalpindi Development Authority, official account activity on X, recent enforcement updates: https://x.com/RdaRawalpindi
4. The Nation, "RDA issues show cause notices to 13 housing schemes, sub-divisions", 30 Jul 2026: https://www.nation.com.pk/30-Jul-2026/rda-issues-show-cause-notices-13-housing-schemes-sub-divisions