The government will provide land and on-site infrastructure like roads as its subsidy for the new affordable housing projects, with private developers set to raise funds for the construction.
The government-provided infrastructure will also include drainage, electricity, water, social services, and mortgage subsidies.
This initiative is to depart from the old method of investing in such projects with public funds, which mostly yielded no profit to the state.
The idea is contained in the Akufo-Addo government’s revised National Affordable Housing Programme, launched on Tuesday, August 1, 2023 in Pokuase, near Amasaman, in the Greater Accra Region.
The initial project, under the revised National Affordable Housing Programme include the 8000 Pokuase project, which sod was cut at the launch to be built on a 203-acre lot and 6000 housing units on a 200-acre land in Dedesua in the Ashanti region. The houses will comprise studio, one-bedroom, two-bedroom and three-bedroom apartments.
DEVELOPERS
Some five developers, both local and international, have been selected to participate in the government’s revised national affordable housing programme. They are Rehoboth Properties, State Housing Company Limited, Devtraco Group Limited, Frank Pauls Ventures Company Limited and Douja Promotion Addoha Groupe Limited.
COST
After completion, a studio unit will cost US$13,800 at the maximum price; a one-bedroom will cost US$20,700; a two-bedroom will cost US$34,500 and a three-bedroom will cost US$42,550.
The amounts are payable in Ghana Cedis at the prevailing Bank of Ghana exchange rate and with payment terms.
POKUASE
The first project, which is the 8000 units to be constructed in Pokuase, will be in two phases, with phase one being the completion of 4000 of the houses in 18 months.
The second phase of the project will be the completion of the other 4000 housing units on the same timeline.
COMMITMENT
Addressing a short ceremony to launch the revised housing programme and also cut sod for the Pokuase project, President Akufo-Addo said the project was a testament to his government’s unwavering commitment to address the pressing housing needs of workers in Ghana.
“This housing project embodies our dedication to prioritising housing as a fundamental need of our people…Together, we are breaking down barriers and creating pathways for our citizens, regardless of their circumstances to access their homes.
“Our commitment to ensuring housing security for all Ghanaians remains resolute, and we will continue to explore innovative approaches to meet the diverse needs of the Ghanaian people,” he said.
The President noted that rapid urbanisation posed a major challenge to housing, exacerbating the affordability gap and hindering the implementation of effective housing initiatives in the country.
With a current urban population of 58 percent, an urbanisation rate of 3.3 percent and with a housing deficit of 1.8 million units, he said the pressing issue of housing had become a critical developmental challenge for the nation.
He said the government initiated the revised National Affordable Housing Programme to create a favourable environment that reduces the risk associated with affordable housing and encourages private investment in the sector.
“The objective is to increase the production of affordable housing units and establish a reliable and sustainable demand side of the housing market that would be accessible to all Ghanaians…This will ensure houses are accessible to all sections of society,” he stated.
The Minister for Works and Housing, Francis Asenso-Boakye indicated that the launch of the programme and the groundbreaking were “fulfillment of a charge” given him by the President, prior to his appointment, “to ensure that affordable housing is provided for Ghanaians.”
In his remarks, the Minister for Lands and Natural Resources, Samuel Abu Jinapor, pledged that his ministry would continue to work to provide more public lands for such laudable projects.
