President William Ruto is now banking on pensions, insurance firms and cooperative societies to fund the affordable housing agenda to the tune of Ksh500 billion.
In a statement on Monday, October 24, 2022, the State House said that the financial sector players have agreed to support the government’s affordable housing plan and other major infrastructure projects including industrial parks with a Ksh500 billion investment in the first year.
The investment will progressively grow to a total of Ksh1 trillion in the fifth year, according to the State House.
Read: Government’s Target To Deliver 200,000 Affordable Housing Units Annually Too Ambitious
The deal, which was reached in a meeting chaired by President William Ruto at State House, Nairobi, on Monday, brings together the pensions industry, insurance firms, saccos, cooperatives and Islamic finance institutions.
Referred to as the Sanduku Investment Initiative, its priority projects will include the Railway City Development, Nairobi International Financial Centre, Kenani Leather Park, Makongeni Modern Suburb among other public-private partnership projects.
The meeting agreed to use a structure agreed on by the Capital Markets Authority and Nairobi Securities Exchange (NSE) to facilitate investment-grade instruments to be listed on the NSE.
“This means small entrepreneurs like Mama Mboga will have a chance to invest under a real estate investment trust,” said the President.
Email your news TIPS to editor@thesharpdaily.com