GIIF To Support Sustainable Financing For Housing – Oppong Nkrumah | Business News

The Ghana Infrastructure Investment Fund (GIIF) is poised to be crucial in enhancing sustainable financing for housing projects nationwide.

This announcement was made by the Minister for Works and Housing, Kojo Oppong Nkrumah, during a press briefing in Accra on Monday, September 30, 2024, where he outlined the government’s commitment to addressing Ghana’s housing deficit, which is currently estimated at 1.8 million units.

The Minister explained that there is a need to create innovative financing models to facilitate the construction of affordable housing in the country to close the housing deficit.

As a result, the GIIF will collaborate closely with the Ministry of Works and Housing to develop sustainable financial solutions for various housing projects. This partnership aims to support efforts to reduce the housing deficit and ensure that more citizens have access to adequate living conditions.

“The creation of the Ghana Infrastructure Investment Fund (GIIF), will help raise sustainable resources for nationwide housing projects which will be very vital to us if we are to bridge the housing gap,” he said

A key focus of the GIIF will be establishing a Public-Private Partnership (PPP) framework designed to encourage private sector involvement in housing provision. This framework will provide several incentives to attract private developers, such as land grants and tax breaks.

In addition to the GIIF’s role, Mr Oppong Nkrumah highlighted the importance of the National Homeownership Fund (NHF), established in 2018 to facilitate affordable housing financing. The NHF has partnered with commercial banks to launch the National Mortgage Schemes, which have already enabled the issuance of over 300 mortgages during their pilot phase.

The Minister also provided updates on ongoing efforts to address stalled housing projects. The Koforidua Affordable Housing Project, which had previously been halted, is set to resume construction following its handover to the State Housing Company Limited. This project aims to expedite construction while ensuring high-quality standards.

Mr. Oppong Nkrumah also confirmed that negotiations are currently underway to handover the Saglemi Housing Project to a Private Developer for redevelopment allowing for the completion and sale of the units without additional government investment.

Additionally, he said the District Housing Programme is being implemented to meet the housing needs of public sector workers in rural areas, particularly those affected by the Akosombo Dam spillage. This initiative seeks to secure unencumbered land through partnerships with traditional authorities, helping to eliminate barriers that have historically hindered real estate development.