Treasury, IFC and NHC sign Financial Advisory Services Agreement

The National Housing Corporation (NHC) on Thursday signed a Financial Advisory Services Agreement (FASA) with the National Treasury and Planning and the International Finance Corporation (IFC).

The Kshs7 billion agreement which was signed at the NHC house in Nairobi is expected to be channeled towards the execution of the Corporation’s housing mandate.

The NHC Acting Managing Director, Dr Patrick Bucha noted the growing demand of housing in the country and the need for the Corporation to stand in the gap.

‘It is a fact that the housing needs of Kenyans are immense and justified. As a Corporation, we realize that we have a duty to provide accessible and adequate housing to Kenyans as enshrined in the Kenya Constitution 2010,’ he said.

Dr Bucha noted that after the signing of the agreement, the Corporation will proceed with the construction of units at the NHC Waterfront City, which was launched in December 2021 in line with the Affordable Housing Agenda.

‘After the signing of this agreement, we will be seeking for a developer to design, finance and build 3, 500 houses withing the Waterfron City, at an estimated cost of the Kshs7 billion. This will be an addition to the current units in Stoni Athi that are complete and available to the general public.’ He added.

He further noted that NHC intends to construct an integrated community within the city.

‘Using a well thought out master plan, the Corporation intends to construct an integrated community within the city. Apart from 9, 500 housing units, the master plan also provides for the construction of complementing amenities such as a hospital, school, recreational areas and a shopping mall.’ Dr Bucha outlined.

The state Corporation whose mandate is to implement the Governments housing policies and programmes was granted a Kshs3.8 billion borrowing approval to develop similar projects across the country.

‘To ensure sustainable and decent housing is realized, the Government through the National Treasury approved a Kshs3.8 bilion borrowing to enable the Corporation undertake similar projects across the country. We are currently in active talks with various banks for the lending of these funds for the construction of 24, 000 housing units across the country as envisaged in our strategic plan.’ He added.

Also speaking at the event, the NHC Board Chairman Mr. Ngene Gituku noted that the funding agreement is critical in ensuring that the Corporation delivers.

‘The signing of this agreement will enable the Corporation make its contribution towards bridging the existing housing deficitin the country. NHC has the internal expertise, the technology and the goodwill of Government and Kenyans to deliver on this mandate.’ Mr Gituku said.

The Chairman further noted that NHC Board is determined to ensure the Corporation delivers on its housing mandate through the implementation of effective police and strategies.

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