This archive report was first published on 19 May 2020.
On May 19, 2020, the Kenyan government's plan to deliver 500,000 affordable houses was hailed as a game-changer for Micro, Small and Medium Sized Enterprises (MSMEs).
The project, a key component of the Big Four agenda, aims to provide affordable housing to Kenyans while creating jobs for the youth and boosting local content development.
According to Hilda Kaaria, the Head of Supply Chain Management at the State Department of Housing and Urban Planning, MSMEs will play a leading role in the delivery of the affordable housing units.
Ms Kaaria noted that the project has already created jobs for thousands of youths employed directly and indirectly in various construction sites across the country.
The government plan is to boost local content development and ensure capacity building and up-skilling of local jua kali sector and other small businesses through a digital platform dubbed Bomayangu.
Ms Kaaria explained that the platform is designed to incorporate multiple stakeholders including land developers, financiers, potential home owners, and county governments.
Through the Specialy Permitted Procurement facilitated by the National Treasury, the state department has enabled the Affordable Housing Programme (AHP) to ensure transparency and openness by placing a call-for-applications.
Businesses with private projects that meet AHP requirements have also been invited to register their projects with the Housing ministry to benefit from the incentives set out in the housing projects.
The Housing department has further developed a procedure for MSME participation in the project enabling jua kali Associations like NGOKAMKA to “corporatise”.