Deceptive marketing: CCP set to develop recommendations for real estate sector

ISLAMABAD: The Competition Commission of Pakistan (CCP) is set to develop policy and regulatory recommendations for the real estate sector as it examines deceptive marketing and broader competition concerns in an open hearing scheduled for August 27.

CCP officials told Business Recorder that the exercise is expected to go beyond individual complaints and enforcement cases, with the Commission seeking input from consumers, investors, developers, builders, real estate professionals, and industry associations to identify market-wide practices that may distort competition or expose investors to misleading information.

The officials said the feedback received during the hearing would feed into the Commission’s formal Opinion on the sector, with recommendations aimed at improving transparency, competitive conditions and consumer protection in one of the country’s largest investment-driven markets.

Among the issues expected to come under scrutiny are false or misleading claims, hidden charges and misrepresentation regarding project approvals, development status, facilities and other material information used to attract buyers and investors.

The Commission has observed that real estate transactions frequently involve substantial household savings and investments, making the accuracy of information available to consumers particularly important. Misleading representations can not only cause financial harm to buyers but may also place compliant developers at a competitive disadvantage against businesses attracting customers through questionable claims.

Under Section 10 of the Competition Act, 2010, deceptive marketing practices, including false or misleading information capable of harming consumers or the business interests of other undertakings, are prohibited.

The CCP has already undertaken enquiries and enforcement actions involving deceptive marketing in the real estate sector. However, the Commission considers that case-by-case enforcement may not, by itself, reveal the broader competition and market issues confronting the sector.

The Open Hearing is; therefore, intended to provide the Commission with first-hand evidence of market practices and allow both consumers and industry representatives to identify problems that may require enforcement, advocacy, regulatory coordination or policy intervention.

The exercise is being undertaken under Section 29 (c) of the Competition Act, which empowers the CCP to hold open hearings on matters affecting competition and publicly express its opinion on such matters. The Commission will record submissions made during the proceedings and consider them while formulating its Opinion and recommendations.

The CCP has particularly encouraged affected consumers and investors to place their actual experiences before the Commission, while developers and other industry participants have been invited to highlight impediments affecting legitimate and competitive business activity.

Copyright Business Recorder, 2026