The Council of Governors (CoG) has thrown its weight behind President William Ruto’s bold directive to broaden the use of the affordable housing levy.

The funds, originally intended solely for housing construction, will now also support the development of essential public amenities such as markets, roads, and social infrastructure. This move aims to create vibrant, liveable, and inclusive communities rather than just standalone housing units.

CoG chair and Wajir Governor Ahmed Abdullahi emphasized the importance of a holistic approach to the affordable housing program.

“The success and sustainability of affordable housing depend not only on building homes but also on providing adequate physical and social infrastructure,” Abdullahi stated.

He highlighted that markets are a crucial social infrastructure that drives local economic activity and fosters community wellbeing. Other vital amenities include roads, water and sanitation, electricity, drainage systems, schools, healthcare facilities, recreational spaces, and security installations.

This stance follows an extensive meeting between the governors and President Ruto last week, where they collectively agreed that integrated settlements must offer more than just shelter; they must support thriving, inclusive communities.

However, the expanded use of the levy has sparked controversy. The Central Organisation of Trade Unions (COTU), led by Secretary-General Francis Atwoli, has raised concerns that diverting funds to non-housing projects could violate the levy’s original legal mandate.

Atwoli warned that the Affordable Housing Regulations contain loopholes that may enable Parliament to misuse the funds, potentially undermining the program’s integrity.

Despite the concerns, government officials argue that affordable housing is a comprehensive concept that requires an integrated approach. Providing access to essential public services alongside housing units they maintain is critical for creating sustainable urban environments that truly benefit residents.