Zimbabwe to spend US $182m on low cost houses

Zimbabwe is planning to construct low cost houses that will approximately cost US $182m. This will target civil servants and other low income earners across the country.

The Finance and Economic Development Minister, Mr. Patrick Chinamasa confirmed the reports and said that the Government will partner the Infrastructure Development Bank of Zimbabwe and the Urban Development Corporation in coming up with various financing strategies for housing development.

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The planned strategies comprise of: Home Ownership Schemes, largely funded by beneficiaries; Loan Funded Schemes, where the Local Authority, IDBZ, and UDCORP identify suitable land and mobilize funding for servicing before selling the stands to beneficiaries.

This strategy will also include formalization of informal settlements, where the Government and the beneficiaries meet the cost of the required off-site and on-site infrastructure.

Additionally, In support of privately funded schemes that will eventually address the housing backlog, the Government will also create the necessary synergies with banks, genuine housing co-operatives, Councils and other stakeholders, with a view of ensuring the housing backlog is reduced.

The new houses

The new houses are set to cater for civil servants and other low income earners across the country and will go a long way in narrowing the housing backlog. This will also ensure that Zimbabweans have decent shelters now and in the future.

This project will come in handy since the potential to own a home is swiftly moving out of reach for the most part of the population. With house plan costs and building costs rising in struggling economies, it is difficult to afford a well designed and constructed home yet there is a desperate need for affordability.