President William Ruto’s Affordable Housing Programme (AHP) is facing mounting scrutiny, with economists and auditors raising critical concerns over its execution, transparency, and financial viability.
The government has entered into Sh49.5 billion contracts for housing projects on lands lacking title deeds, a move that raises serious questions about homeownership and the legality of the initiative.
Without original titles, prospective homeowners may be unable to secure sectional titles, casting doubt on the integrity of the programme.
President William Ruto speaking dyuring a past event. Photo: William Ruto Source: Facebook
One of the major red flags involves the Jeevanjee land in Nairobi, where 80% of the property mysteriously shifted from county government ownership to a private firm, Jabavu Village Ltd.
This raises concerns about potential land-grabbing schemes within the AHP.
Additionally, the government has been inconsistent in its reporting of progress, with conflicting figures from the Housing Ministry and the National Treasury regarding the number of houses built and jobs created.
Originally, the government pledged to build 250,000 houses annually, a figure later reduced to 200,000.
Lands CS Alice Wahome during a past media presser. Photo: Alice Wahome Source: Facebook
As of now, only 4,888 units are nearing completion, while claims of 140,000 houses under construction remain unverified.
Cabinet Secretary Alice Wahome has stated that 1.12 million jobs have been created, yet Treasury documents contradict this, citing only 164,000 jobs.
The AHP’s financing has also been met with criticism, particularly regarding the 1.5% Housing Levy deducted from workers’ salaries.
Initially presented as a savings plan, it was later converted into a tax under the Finance Act 2023.
Lands CS Alice Wahome addressing a gathering. Photo: Alice Wahome Source: Facebook
By December 2024, Sh88.7 billion had been collected, with Sh46 billion invested in Treasury Bills instead of housing projects, reducing available funds for construction.
The long-term sustainability of the programme remains a key concern, as low-income earners targeted for social housing may struggle with 30-year payment plans.
Additionally, private developers may exploit loopholes to acquire multiple houses for resale, further disadvantaging ordinary Kenyans.
With unanswered questions surrounding land ownership, funding, and execution, the AHP’s future remains uncertain.
