Kenya’s Affordable Housing Program Faces Implementation Challenges

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Kenya's Affordable Housing Program Faces Implementation Challenges

President William Ruto’s administration continues to face challenges in implementing its affordable housing agenda. The government recently invited Kenyans to select from 4,888 available units, falling significantly short of its promised 200,000 annual units.

The program is funded partly through the Affordable Housing Levy (AHL), which collects 1.5% of gross pay from salaried workers. President Ruto defends the initiative as a dual solution for job creation and housing needs, citing 164,000 jobs created thus far, up from 50,000 in late 2023.

However, uptake remains a concern, particularly in rural areas. The Auditor General’s report revealed the National Housing Corporation holds Sh1.3 billion in unsold houses, with Sh432.7 million worth of units remaining unoccupied despite some being rented out.

State House Spokesperson Hussein Mohamed clarified that 103,000 units have been launched since September 2022. He noted that previous government housing programs, including those from the Jubilee administration’s tenure when Ruto served as deputy president, faced similar challenges with their Sh7 million units proving too expensive for most buyers.

The government maintains its commitment to improving the program’s implementation while addressing concerns about land fragmentation and urbanization through planned development across all counties.

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