Absa Bank sets aside Ksh.4 billion to support affordable housing in Kenya #AD

The move is meant to address existing housing challenges in the retail segment, with the overall goal of significantly bridging the affordable housing gap in Kenya.

Kenyans and stakeholders have applauded the move by ABSA, as most timely, especially at a time when Kenya is facing an estimated annual demand of 250,000 new housing units against a limited annual supply, resulting in a significant deficit.

Speaking at the International Housing Solutions (IHS) Affordable Housing Conference in Nairobi, Absa Group, Commercial Property Finance Director, Zaharaa Khanbhai, said the bank is playing an important role as it seeks to address numerous housing challenges in Kenya and across East Africa.

“If we are truly to unlock Kenya’s housing potential, we must collectively address the barriers from land availability and infrastructure cost, to regulatory complexity and access to finance,” said Zaharaa.

“Absa Bank is committed to being part of the solution, not just a financier, but as a thought partner, advocate and enabler of change,” Zaharaa said – adding that Absa is looking to building relationships; interrogate assistance required to enable one to acquire that home, and how the bank can help in the actualization of dreams to own homes.

Superior Homes CEO Shiv Arora applauded financiers like ABSA for playing a pivotal role by focusing on the uptake of mortgage products, supporting home buyers on the journey to owning homes.

The conference, the first to be held in Kenya, comes at a time when the housing deficit in Kenya currently stands at over 2 million units, driven by rapid urbanisation, population growth, and widening economic disparities.

The landmark event convened the continent's leading voices in housing, finance and policy to explore the intersection of innovation, sustainable finance, and inclusive development in addressing Kenya's affordable housing challenge.

The Government of Kenya has recently made significant strides with its Affordable Housing Program, laying a foundation for investments in the rapidly growing space with enabling policy frameworks.

As a result, the private sector is presented with an opportunity to help develop scalable solutions that augment and improve existing products and solutions.

Absa Bank, as part of its broader pan-African strategy, is leveraging the capabilities of the Absa Group to provide developers and investors with more sophisticated, large-scale financial solutions.

This spans commercial, retail, hospitality, and green infrastructure projects, aligned with the group’s focus on smart, sustainable, and affordable development.