Windhoek
The Shack Dwellers Federation of Namibia (SDFN) and the Namibia Housing Action Group received a boost on Friday when Ohorongo Cement, FNB Foundation Holdings Trust and the Pupkewitz Foundation pledged a total of N$3 million to the federation to address the escalating demand for low cost housing.
SDFN is a non-governmental, community-based organisation that aims to improve the living conditions of lower income groups by providing its members with building loans ranging between N$20 000 and N$35 0000. The loans are repayable within a period of 11 years at an interest rate of 0.5 percent per annum.
First Lady Monica Geingos, who is the patron of the SDFN, was the guest of honour during Friday’s ground-breaking ceremony for the construction of 20 houses at Otavi by the SDFN.
At the ceremony, Ohorongo, FNB and the Pupkewitz Foundation announced their partnership in supporting the SDFN with a 3-year housing project. The project has low input costs in comparison to the spinoff effects, and the initiative helps to build capacity through training while requiring relatively little manpower.
Housing affordability has deteriorated significantly in recent years and the country is currently facing multiple major housing challenges. The national housing backlog is estimated to be in excess of 100 000 units, and is increasing by 3 700 units on average per annum.
Ohorongo committed towards the project with an initial contribution of N$1 000 000 and the FNB Foundation Holdings Trust matched this contribution with N$1 000 000, while the Pupkewitz Foundation agreed to donate building material to the same value.
The three partners in housing announced their contributions during an event in Otavi to support community-driven housing for low-income families.
The SDFN is a saving scheme for low-income households, established in 1998 and active in urban and rural areas. The community-driven saving groups secure affordable land, housing and services for members. It is a non-profit organisation with a presence in all 14 regions of the country.
The housing project has been described as changing the complete livelihood of people through the transfer of skills and knowledge and strengthening communities. The project also has the objective of capacity training in construction and assisting in building communities.
There are different house options for income categories with an option to extend as a member’s income increases. The pilot project was completed at Epukiro and more projects are planned to be rolled out throughout all regions.
“There are numerous reasons why we, as the FNB Foundation, have committed N$1 million in cash to this great initiative. We are all aware of the huge housing backlog. A house should be a necessity for everyone to ensure a warm and caring environment for children and the guarantee that you are protected against the elements at all times,” said Clara Bohitile, chair of the FNB Foundation.
“There lies great power in joining forces and when we work together we can effect bigger change, while at the same time support government initiatives. Initiatives like these create solidarity,” said Hans-Wilhelm Schütte, managing director of Ohorongo Cement.
“The latest housing indexes released by various institutions indicated that land delivery across Namibia continued to deteriorate, in contrast to growing demand. Housing is not only the responsibility of government, but we need the full support of the private sector to assist in alleviating housing shortages. The effective partnership of the Shack Dwellers Federation of Namibia that has been built between local government, local NGOs and the community, demonstrates that low-income groups’ abilities to become active and take control of their own development should not be underestimated,” said the governor of the Otjozondjupa Region, Otto Ipinge.