President William Ruto has said the government will continue using a revolving fund to finance affordable housing until every Kenyan has access to a home.

🇰🇪 Breaking It Down

Speaking during the Broad-Based Government PG meeting on Monday, August 10, Ruto defended the government's decision to develop and sell affordable houses on public land, saying proceeds from completed projects are reinvested to finance the construction of additional units.

“Some people are asking why we are selling houses built on government land to citizens using resources raised by the people of Kenya,” Ruto said.

He added, “It is because the resources put together by Kenyans using the housing levy and the land does not belong to one person. It belongs to all Kenyans."

📌 What You Need to Know

The president further explained that buyers are required to pay for the houses because the proceeds are used to create a revolving fund that allows the government to finance further construction. "So when you buy, you have to pay because we need the money to do the revolving fund until every other citizen has gotten a house, then that is when we will stop," President Ruto stated.

According to the president, the arrangement would continue for as long as the country has a significant shortage of housing, noting that Kenya currently faces a deficit of close to 2.5 million housing units.

“But until and unless each and every one of us has got a house, we will continue the revolving fund because in any case, we have a shortage of close to two and a half million houses and that shortage is growing,” he said.

The housing levy has faced criticism from sections of the public, particularly over the additional deduction from employees' earnings and concerns about whether contributors will ultimately benefit from the Affordable Housing Programme.

Some critics have also questioned whether salaried workers who already own homes or may not qualify for the programme's units will directly benefit from the mandatory contribution.

Ruto also defended the use of public land, including property managed by both the national and county governments, for affordable housing projects, saying the two levels of government have worked together to provide land for the developments.

📰 Source: Kenyans.co.ke