The Rwandan government has taken measures to overcome housing challenges in the hilly country with a densely packed population, said a Rwandan housing official.

The quantity of housing construction in the landlocked country is still low and its cost does not match the purchasing power of the majority of the country, according to the ministry of infrastructure of Rwanda. Most urban residents still access housing through informal practices, because the formal sector cannot offer housing access schemes which cater to all, it said.

Developers’ biases on target groups and reluctance to engage in affordable housing for fear of low profit margins, high expropriation and construction costs, and insufficient financing mechanism for both developers and low-income beneficiaries are among the housing challenges that the country is facing, head of human settlement in RHA, Augustin Kampayana told Xinhua in a recent interview.

To manage these challenges, the government has set up infrastructure subsidies for investors in the construction industry, through affordable housing funding, a real estate investment trust, savings mechanism for housing and prudent fund, Kampayana said.

There will be the enforcement participatory approach in the acquisition of developable land, and every district will have a land bank to facilitate investors, he said.

“We will provide incentives on tax and interest rates, in addition to the promotion of local building materials,” he added. Enditem

Source: Xinhua/NewsGhana.com.gh


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