Government issues new rules on affordable housing projects

Real estate developers will need to meet new criteria to qualify for government support in the process to put up affordable housing units. This was revealed Thursday by David Niyonsenga, the division manager, Housing and Urban Planning at the Ministry of Infrastructure (MININFRA). “The Government will undertake all possible measures to ensure every Rwandan has access to affordable housing. Under the new instructions, the Government will offer basic infrastructure to developers,” he said. Basic infrastructure, including land from the government to developers, would cover 30 per cent of the costs for affordable housing development. Niyosenga said infrastructure support will also include roads, telecommunication and electricity distribution and social amenities. “All affordable housing projects that will get government’s support will directly benefit Rwandan citizens who do not own a house,” he added. The project is one of the pillars towards the Second Economic Development and Poverty Reduction Strategy (EDPRS 2) During the ninth annual leadership retreat held in 2012, affordable housing development, especially in cities, was identified among the top most national development priorities. This was followed by the formulation of National Housing Policy which was rolled out in March this year, aimed at fast-tracking affordable housing projects. Under the new instructions, the local government authorities would be required to inform its residents about the housing schemes under which they can apply for support. District councils would vet bona fide beneficiaries. Currently, there are about eight affordable housing development projects across the country, which are expected to construct over 20,000 units. Cabinet Affairs minister Stella Ford Mugabo said that the first batch of affordable housing would be on the market next year. “Affordability of the houses will depend on forces of demand and supply, but we want to assure you that as time goes by these houses will become affordable for everyone,” said Mugabo. The new ministerial instructions also encourage both local and international investors to venture into affordable housing.

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Government issues new rules on affordable housing projects