City needs N$1b a year to catch up with housing

The City of Windhoek requires N$1 billion annually over the next four years to address a 60 000-unit housing backlog worsened by rapid urban migration and funding shortages.

City section engineer for housing Theunis Heunis said this at a media engagement on Friday.

He said the city is faced with the challenge of delivering houses due to funding gaps, with the cost of servicing land estimated at N$900 million.

“We only received N$53 million from the Ministry of Urban and Rural Development for this financial year, and from the council we received a bit over N$200 million, bringing the total to N$290 million. That’s what we have to work with,” Heunis said.

The ministry has been allocated N$1.9 billion for the 2026/27 fiscal year, compared to last year’s N$2.7 billion.

Heunis said the city, compared to other African municipalities, does not receive a dedicated budget from the ministry, and only receives funds for national projects.

Despite the challenges, he said the city is doing its best with the funds allocated, but warned that the deadline of 2030 for catching up with the backlog may not be achieved unless more funds are provided.

The government plans to build 50 000 houses by 2030 at a rate of 10 000 each year.

Heunis said Windhoek may be required to build flats in the years to come, as single houses will no longer be available due to the capital’s growing population.

He said Windhoek has 150 informal settlements out of 419 countrywide, with 213 000 people. This translates into over 67 000 informal households.

In March 2025, the city’s strategic executive for housing, property management, and human settlement, Faniel Maanda, said it needs at least N$7 billion to effectively address Windhoek’s housing shortage.

Maanda said the housing situation is primarily driven by urban migration, as people relocate in search of economic opportunities in the country’s only city.

He said Windhoek’s population is growing at an annual rate of 3.1%, with informal settlements experiencing a significantly higher growth rate of 6.1%.

“At this pace, the city’s population is projected to double within 21 years. To mitigate this challenge, the city is implementing various policy interventions and housing initiatives, including the informal settlement upgrading project and the council’s affordable housing programme.”

Shack Dwellers Federation of Namibia co-director Heinrich Amushila yesterday said Windhoek’s informal settlements are rapidly growing, and it needs all stakeholders, such as the government, the federation, the private sector and the affected communities to address the housing crisis.

“The City of Windhoek’s role should be to facilitate, enable and support key stakeholders to make a meaningful contribution. Resources are scarce and various stakeholders should complement the government’s efforts,” he said.

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