Namibia launches massive housing scheme

2014-12-05 19:20
Hifikepunye Pohamba

Hifikepunye Pohamba

Multimedia   ·   User Galleries   ·   News in Pictures Send us your pictures  ·  Send us your stories

Oshakati - The Namibian government will subsidise its national mass housing project of 185 000 units with up to 60% of the price for low-income earners, President Hifikepunye Pohamba announced on Friday.

"Subsidies for different categories of houses provided by government under this programme range from 60% to 50% of costs of a house," Pohamba said at a handing over of 65 houses to beneficiaries at Oshakati in north-central Namibia.

"Thousands of our people need houses as a matter of urgency and we are determined to address the housing backlog."

Early last year Pohamba established a national mass housing committee chaired by him to embark on the programme, which kicked off a year ago.

Around 45 000 houses will be constructed countrywide until 2030 with a total budget of 45 billion Namibian dollars. It is the largest project undertaken by the government.

Details about subsidies for low-income earners have to date not made public.

During the two-year pilot phase which ends in 2015, about 8 500 houses will be constructed. Project implementation is handled by the government's National Housing Enterprise (NHE).

According to information provided by the NHE, the smallest house of 38,5m² would cost approximately B$200,000.

A 60% government subsidy as announced Friday, would come to N$120 000, leaving a price tag of 80,000 Namibian dollars a beneficiary would have to pay off via a loan scheme with subsidised interest rates.

From 2016 onwards, construction of 10 000 houses was envisaged each year until 2030.

The pilot phase received some criticism from the private sector and in the media as there was no open bidding (tender) process and only black economic empowerment (BEE) companies were given contracts.

Several BEE companies formed joint ventures with foreign companies including from China and South Africa to carry out construction work.

For the next phase, the NHE mulls a more open bidding process and considers the inclusion of alternative construction methods.

Read more on:    namibia  |  southern africa

Join the conversation! encourages commentary submitted via MyNews24. Contributions of 200 words or more will be considered for publication.

We reserve editorial discretion to decide what will be published.
Read our comments policy for guidelines on contributions.
NEXT ON NEWS24X publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Inside News24

Traffic Alerts
There are new stories on the homepage. Click here to see them.


Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.

Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire network.


Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.

Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.