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Shelter Afrique Development Bank (ShafDB), a Pan-African institution promoting housing, and urban development and CPF Group have joined forces to tackle growing housing deficit in Kenya.
ShafDB and CPF Group signed a Memorandum of Understating (MOU) aimed at scaling up the development of large-scale affordable housing projects in the east African nation.
Join our WhatsApp ChannelThe agreement was signed in Nairobi by CPF Group Managing Director, Dr. Hosea Kili, and Shelter Afrique Development Bank Head of Credit and Operations, Mr. Christopher Chege, on behalf of the Managing Director Mr. Thierno-Habib Hann.
The MOU will create an opportunity for co-financing of the development of affordable housing in Kenya. Both ShafDB and CPF Group will jointly design and manage the Fund – including offering capital raising and technical support to the management of the Fund.
Housing Deficit in Kenya
The housing deficit in the country is said to be at 2 million and could rise further as a result of high rates of population growth and high urbanization rate currently at 4.4%, above the global average of 2.1%.
Out of Kenya’s total population of 50.6 million, 29% reside in urban areas. The Kenyan government has implemented the Bottom-up Economic Transformation Agenda (BETA) to create a global framework to address the housing crisis by delivering 250,000 housing units annually as opposed to the present 50,000.
READ ALSO: Shelter Afrique Targets African Diaspora In Housing Delivery
Commenting on the deal, Mr. Chege said: “As a company, our overriding strategy is the provision of affordable housing across our member States through public-private partnerships. This strategic partnership with CPF Group will be key in expanding our projects in Kenya.”
Chege expressed optimism that the partnership with CPF Group will deepen their impact on affordable housing value chain not just in Kenya but Africa generally
On his part, CPF Group’s Managing director, Kill, said: the company is excited to partner with Shelter Afrique Development in addressing the perennial problem of affordable housing in Kenya. “This partnership opens up opportunities for collaboration in many areas including product & services design and finding innovative funding solutions for our current and future projects,” Dr. Kili said.
