This archive report was first published on 11 December 2019.
Published on December 11, 2019, the Affordable Housing Program has seen a significant uptake, with 17,000 Kenyans signing up for voluntary deductions to the State's affordable housing plan.
According to data from the State Department of Housing, over 275,000 more Kenyans have signed up as off-takers of the under-construction homes.
The initial plan to enforce a mandatory deduction of 1.5% of employee salaries as contribution to the housing fund was challenged in court by civil groups, including the Federation of Kenyan Employers (FKE), the Central Organization of Trade Unions (COTU), and the Consumer Federation of Kenya (COFEK).
As a result, the Housing department decided to implement the program through voluntary deductions, after an individual signs up for a house.
The Housing Ministry plans to implement the project via public-private partnerships (PPP), leveraging on surpluses in the capital markets.
Other institutions, such as Shelter Afrique and the World Bank, have already made deals with the State to activate the Affordable Housing Program.
