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STATE OF THE HOUSING INDUSTRY IN UGANDA By Presented by: Deogratius Mugabo Housing Microfinace Manager, Habitat for Humanity Uganda IHA Secretariat STATE OF THE HOUSING INDUSTRY IN UGANDA 2 COUNTRY: Uganda NAME OF ORGANIZATION: Habitat for Humanity Uganda 1- ORGANIZATION OVERVIEW: Habitat for Humanity Uganda (HFHU), affiliated to Habitat for Humanity International is an Ecumenical Christian organization that welcomes to its work people from all walks of life to the cause of eliminating poverty housing. Since its inception in 1982, HFHU has built, rehabilitated, repaired and improved more than 8,500 housing units in Uganda, providing simple and affordable shelter to over 62000 people. With an average income of $65 a month it is not surprising that over two-thirds of Ugandans live in substandard housing. The reality is clear – the lack of quality housing compromises people’s health and development opportunities and perpetuates poverty. Housing is more than a house – it is the environment in which we live. It is about how we come together as communities and how we care for each other. STATE OF THE HOUSING INDUSTRY IN UGANDA 3 2- HOUSING ECONOMIC STATISTICS: Starts: - Single Family - Multifamily Percentages: 66.8% 33.2% Numbers: 37m people 37m people Gross Domestic Product (GDP) GDP Growth GDP Per Capita House Price Index Consumer Price Index Unemployment Home Mortgage Interest Rate Home Ownership Rate Population Growth/Net 0.04 5% 5% 26.4b 26.4 (USD) 673.21 4.8% 9% 22% 76.12 3.0% 161.1b 6,920,000 1038000 people STATE OF THE HOUSING INDUSTRY IN UGANDA 4 HOW IS SOCIAL HOUSING ADDRESSED IN UGANDA? Source © 2016 Centre for Affordable Housing Finance in Africa Over 90 percent of housing is delivered by individuals, using their own savings and loans to undertake construction incrementally. Owner occupancy is estimated at 72.8 percent. Continuation 5 Notwithstanding the above, the country is currently (2016) estimated to have a housing deficit of 1.6 million units. Coupled with an annual population growth rate estimated at 3.4 percent, and a 5.6 percent urbanization rate, So as a country, we need get interventions that will reduce the increasing housing need. what is the social housing share of total housing units in your country This is very minimum. With support from Shelter Afrique, the Government (through the Ministry of Lands, Housing and Urban Development), has embarked on the Nationwide Housing project, implemented under a PPP or Equity Model. The project will target middle and low income earners. And, will be implemented in the six Districts. The Government plans to start with 100 units, developed on Government land in Jinja, and another 400 units, on private land, in the greater Kampala area. A mix of four house types is proposed; (i) a 1-bedroom house of 36m2, valued at USD 25OOO, (ii) a 2bedroom house of 56m2, valued at USD 39000, (iii) a 2-bedroom house of 70m2, valued at US49000. and (iv) 3-bedroom house of 85m2, valued at USD 59000 STATE OF THE HOUSING INDUSTRY IN UGANDA 6 How is social housing being delivered (public/private/combination)? The government provides an enabling environment for NGOs to provide social housing interventions – conducive political environment policy reforms. Role of non-profit government organizations and non-profits in producing and maintaining social housing are the funding requirements met by the government?, No, However Today the government’s role in affordable housing is only through facilitation of the private sector. More support is needed through initiatives such as tax exemptions for affordable houses, mortgage incentives to selected affordable housing schemes, and provision of infrastructure for housing development (i.e roads, water and sanitation inclusive). THANK YOU. IHA Secretariat