Government signs US$436m affordable housing deal

Government has signed an agreement with the United Nations Office for Project Services (UNOPS) for the construction of at least 100,000 affordable homes across the country.

As part of the agreement, UNOPS and its partners are looking to attract US$436 million worth of investment to deliver the affordable homes.

According to a press statement issued by UNOPS, the agreement is a major milestone in its commitment to fostering innovative financing for the Sustainable Development Goals (SDGs), and will help the government of Ghana open access to sustainable, affordable and environmentally-sound housing for its citizens.

The project, which is expected to be delivered in between six and ten years, will provide job opportunities for local communities nationwide and help toward alleviating the housing deficit.

Commenting on the new agreement, UNOPS Executive Director Grete Faremo said:

“There is great potential to improve access to sustainable and resilient housing for thousands of people in Ghana. At the same time, this project will work to boost livelihoods and the local economy.

“The knock-on effect means unlocking new opportunities and resources for local communities, which helps drive progress toward the SDGs.

“The 100,000 houses are to be constructed using energy-efficient solar rooftops and manufactured locally, which will provide up to 3,000 jobs for local people.”

The press stated that the gross development value of the project when completed is about US$5.3billion, and UNOPS is committing US$10million as seed money to the project’s execution.

In a previous statement on the project, President Nana Akufo-Addo said:

“I believe we are all well aware of the challenges Ghana, and most of Africa, faces when it comes to the provision of decent, well-planned and organised housing for our citizens. The difficulty in addressing this on-going challenge has led to a huge housing deficit in our country.

“I believe that with the signing of this project agreement, we shall be ushering into existence a new dawn for Ghana and our citizens.”

The project falls under UNOPS Social Impact Investment Initiative (S3i), which seeks to de-risk infrastructure investment projects in an effort to help attract financing from the private sector to national development agendas. Projects selected are subjected to a rigorous due diligence process that will ensure positive environmental, social and economic impacts, with a financial return.