housing cooperatives.jpgHousing co-operatives in Harare have urged the Ministry of National Housing and Social Amenities to disburse money from the National Housing Development Fund to enable them to fully embark on construction projects.

 

The Ministry of National Housing and Social Amenities was allocated US$25 million from treasury of which a substantial amount was expected to be disbursed to community based organisations such as cooperatives for housing development.

 

The resources are yet to be disbursed prompting the housing cooperatives in the capital to call for government to expedite the process.

 

Harare East Union housing cooperatives chairman, Mr. Nelson Mandizvidza says current construction projects show what housing cooperatives can achieve given the necessary resources and support.

 

“We have made significant progress using the little resources that we have and we hear that the National Housing Development Fund was allocated to us for our projects for this year, so it has to be disbursed,” said Mr. Mandizvidza.

 

Harare North housing cooperative chairman, Mr. Misheck Mangwende says local banks have not been forthcoming in the provision of loans to housing cooperatives, hence the need for government to assist especially with the servicing of land.

 

“We have approached building societies for housing loans but we have not received any favourable response,” Mr. Mangwende said.

 

Housing cooperatives have in recent years proved to be the most effective mechanisms for housing provision in the country as government and local authorities failed to embark on any major construction projects due to sanctions induced economic challenges.

 

However, lack of support from financial institutions has hampered co-operatives’ efforts to provide housing for low income earners.