Blog

January 18, 2016 by Kecia Rust | No Comments

This blog is drawn from the Housing Finance in Africa Yearbook 2015. Author: Kecia Rust If cities are built the way they are financed (Renaud, 1984), then Africa’s cities are set to change.  Innovation in housing finance –in terms of products, players, and approaches, not to mention target markets – is a key feature across the continent, creating new opportunities for investment and delivery.  As both local and international investors chase growth opportunities in a sluggish global economy, they are employing diversification strategies to manage the risks of their traditional targets – and in this, residential property is increasingly becoming an option. …

January 14, 2016 by Samuel Suttner | No Comments

The Economist posted an interesting blog comparing the performance of house prices in 25 countries. It includes a house price index, prices in real terms, prices against average income, prices against rents and the percentage change in house prices. Unfortunately, the only African country represented is South Africa; there’s a dearth of data on the continent’s housing markets. Hopefully, with efforts to collect more data, such as those currently underway in Kenya and Uganda, we can see how housing markets are performing in more African countries. Another caveat is that the data used for South Africa are from ABSA Bank’s housing price indices,…

January 6, 2016 | No Comments

Affordable housing and housing finance solutions are imperative to the economic growth agenda across Africa, not to mention dealing with the obvious housing backlogs.  In this, the private sector is a critical player in moving the agenda forward and innovating to increase access to affordable housing finance solutions.  The key term is “affordable”. The graph below shows the rural urban split of households by income category for the African continent – just an estimate, indicative of distribution. Different income categories have different levels of affordability.  By looking at populations in this way, one can understand the level of opportunity available…

December 1, 2015 | No Comments

To increase access to affordable housing and housing finance across Africa, housing finance markets need to work. This was the premise guiding the African Union for Housing Finance’s 31st Annual Conference and AGM. The conference brought together a range of practitioners and institutions to explore the variety of initiatives and the many issues affecting Africa’s housing finance markets. In attendance at AUHF 2015—held in Durban, South Africa, from the 26th to the 28th of October—were development finance institutions, housing microfinance institutions, NGOs, mortgage lenders, mortgage refinance companies, parastatals and government institutions, all looking for a better understanding of Africa’s housing…

December 1, 2015 | No Comments

  “Linking Affordable Housing and Microfinance: An Opportunity for microfinance banks to contribute to affordable housing and increase impact” The webinar is hosted by the Project Head of Affordable Housing at LafargeHolcim; Francois Perrot and will discuss: Best practice in housing microfinance, New construction solutions for affordable housing, How to work with LafargeHolcim and its partners. The link to register is here. And more details of the event can be found here.

September 30, 2015 | No Comments

The speech given by South Africa’s Finance Minister, Nhlanhla Nene, on the country’s housing sector at the International Housing Solutions Conference on 7 September 2015. See Citymark‘s South African Housing Market Overview 2015 for context.   National statistics show us those activities in the construction and construction services segments of the economy contribute significantly to economic growth and employment. In particular, the domestic output multiplier for the construction industry indicates that for every R1 million increase in the final demand related to construction output, there is a R2.05 million increase in the value of domestic output. Furthermore, the employment multiplier reflects that for every…

August 14, 2015 by Kgomotso Tolamo | No Comments

In Zambia, 60.5 percent of the population live below the poverty line; additionally UN-Habitat estimates a housing backlog of over 1.3 million housing units.  In circumstances such as this innovation is the name of the game when it comes to housing delivery.  Standard approaches only yield standard results; which inevitably have minimal effect on reducing the housing backlog. According to the World Bank’s Global Financial Inclusion (Global Findex) Database only 22 percent of rural and 14 percent of urban Zambians over the age of 15 have an account with a formal financial institution, and only 11 percent of employed adults…

August 13, 2015 | No Comments

The Centre for Affordable Housing Finance in Africa is looking for two new dynamic staff members, to assist us in our mission to help Africa meet its need for affordable housing. We’re hiring a Data Architect and a Dashboard Architect, both positions based in Johannesburg, to start as soon as possible: Click here for the detailed job description for the Data Architect position. Click here for the detailed job description for the Dashboard Architect position.

August 13, 2015 by Sireena Ramparsad | No Comments

Coupled with rapid urbanisation rates, African cities are experiencing unprecedented urban growth that places pressure on existing infrastructure and creates a demand for additional infrastructure. At the same time, cities’ resources are already under severe strain, given increasing income disparity, low affordability levels, and unstable employment. A key question is how to accommodate this demand in a financially sustainable manner? What are the options available for cities to raise capital to finance public infrastructure and avoid over burdening already scarce resources? One of the tools explored in this regard is land-based financing (LBF) which compliments other financing options such as borrowing,…

August 7, 2015 by Allan Kundu | No Comments

With the release of 2014 Global Financial Inclusion Data (Global Findex) in April 2015, the champions of financial inclusion have every right to celebrate. The data says several exciting things, firstly, that account penetration is deepening, secondly, the number of the banked has risen by over 500 million, and thirdly, mobile money has taken root as a very critical financial service in sub-Saharan Africa. But perhaps the most important piece of information that this data seems to provide to stakeholders and players in the housing sector in Africa, is that more funds are similarly flowing into housing. GENERAL INCLUSIVENESS IN…