@_josephmbatha: A controversial government proposal could see future Housing Levy deductions from Kenyan workers used as security for a Sh100 billion borrowing plan aimed at financing affordable housing projects across the country. Reports indicate that the State intends to leverage the predictable flow of levy contributions to secure funding from development partners, raising fresh questions about the long-term future of the already contentious levy. The proposal comes as the Affordable Housing Programme continues to expand, with billions of shillings already being collected annually through the mandatory 1.5 per cent levy on employees, matched by employers. Government officials argue that the move would unlock immediate capital for construction while relying on future levy inflows to guarantee repayment. However, the plan is likely to trigger intense public debate, with critics warning that it effectively commits future Housing Levy collections to servicing debt, potentially extending the levy's lifespan and increasing concerns over accountability, transparency and the long-term obligations being placed on Kenyan workers. The government is yet to publicly release the full borrowing framework, repayment terms, or details of the proposed financing arrangement. #housinglevy #housinglevyloan #housinglevydeductions #housinglevy100billionloan #affordablehousingprogramme

Joseph Mbatha

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Region: KE

Friday 05 June 2026 09:50:24 GMT