Sankwasa calls on defaulters to pay up loans under mass housing programme

Urban and rural development minister James Sankwasa has raised concern over growing cases of beneficiaries defaulting on their home loan repayments under the Mass Housing Development Programme.

The minister warns that non-payment threatens the sustainability of the government’s efforts to provide affordable housing.

Since the housing programme launched in 2014, Sankwasa says 4 826 houses have been completed and handed over across the country.

However, 514 units are still outstanding, including 24 at Opuwo, 186 at Swakopmund and 304 in Windhoek.

Sankwasa said this in a speech read on his behalf by ministerial adviser Boniface Mutumba at Otjomuise extension 10 in Windhoek on Friday, where 377 newly completed houses were officially handed over through the National Housing Enterprise (NHE).

The minister said the government has already subsidised many of these units by up to 75% of their construction cost, yet repayment levels remain “worryingly low”.

“It is very important to reiterate that land servicing and housing delivery requires a combined effort from the government, the private sector and communities,” he said.

“However, the government has noted with great concern the un-progressive tendencies by some beneficiaries failing to pay their home loans. These repayments are needed to enable the government to build and provide more houses for other Namibians,” he said.

He urged all current and future homeowners under the programme to honour their contractual obligations.

“I am urging all beneficiaries to pay their monthly instalments because this programme is meant to serve those who are in need of decent and affordable shelter, especially the ultra-low and low-income groups,” he said.

Friday’s handover included 58 houses completed under an agreement between the ministry and CalgroKuumBa Planning and Design (Pty) Ltd, while the remaining 319 units were delivered through a public-private partnership agreement.

Sankwasa stressed that delivery can only succeed if beneficiaries participate responsibly.

“The government is doing its part by providing subsidies and investment,” he said. “Now we need those who have received houses to do theirs.”

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