Uganda government to support home financing

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Uganda’s Minister for Lands, Housing and Urban Development, Betty Amongi has said she will compel the government to interrogate the country’s home financing regime to enable public commercial entities like National Housing and Construction get access to cheap finance to enable them offer low cost houses for citizens.

The minister the government should support public entities that work to take up the development of public infrastructure instead of depending on investors. “We shall push for you. You need to strategically position and market yourselves as a capable entity and you will be prioritized in undertaking public works,” Amongi said.

She added that the government has in plan, several projects to benefit the housing agency. Amongi revealed that the government intends to establish 22 industrial parks in its new term of government, but intends to start with the building of five industrial parks soon.

She noted that the government has also developed a plan to build institutional houses for the army, police, teachers and health workers, Amongi advised National Housing to position and anchor itself as a vehicle that can deliver those projects.

State Minister for Housing and Construction, Mr. Chris Baryomunsi stressed the government’s commitment to make the country a middle income country by 2020. He said this plan is to be achieved, the issues of qualitative change will top the agenda and housing comes in handy in improving people’s livelihoods.

He added that to help National Housing tackle the issue of shortage and demand for affordable house, there is need to strengthen issues concerning policy and administration. He said this can be achieved by coming up with policies that strengthen physical planning across the country. He said the government plans to train all Sub County Chiefs in physical planning so that to enable them superintend the planning process of urban centers in rural areas.

National Housing and Construction Chief Executive Officer Parity Twinomujuni said Uganda’s housing state is wanting. He added that affordability of housing has been a big problem.

Twinomujuni noted that they borrow from financial institutions at 20% and the buyers also borrow at the same rate for a period of 20 years. This therefore erodes profitability and demand respectively.

Uganda government to support home financing

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