This was after several discussions with the Ministry of Water Resources, Works and Housing over a proposed alternative bid on how to reduce the country’s housing deficit submitted by the association in September last year.
The country’s housing deficit is currently estimated at 1.8 million and government in its bid to reduce the shortfall has hit a brick wall.
But President of GREDA, Dr Alexander Tweneboa, told the GRAPHIC BUSINESS in an interview that the discussions with the Ministry of Water Resources, Works and Housing centered, among other issues, on funding and procurement plans.
“This new proposal will signify a new partnership between the government and the private sector, which we hope to develop in the coming months”, Dr Tweneboa said.
He said the association, after submitting the proposal to government is still holding talks with them, as well as its members to see how best they can find a lasting solution to the unending housing deficit increase in the country.
Dr Tweneboa added that the association is disappointed that the STX project could not be materialized as that was a laudable initiative which the country was in dire need of.
“We are disappointed it has not been fulfilled although we hoped government would have done its best in its endeavor in releasing such a laudable project which is needed most,” he stressed.
Dr Tweneboa however noted that Ghana’s housing deficit is currently at a social level which could not be solved by only the private sector but requires “a Public Private Partnership to help reduce the constraint on the private sector to help build affordable houses for people.”
He added that the association is also lobbying for government to partner Pan African Organisations so they can assist the private sector with finance to bridge the housing gap facing the country.
“A positive outcome of our lobbying was the announcement of the support given by Shelter Afrique, a Pan African Organisation to develop the real estate sector as well as help build more housing units in the country”, he said.
Dr Tweneboa is however confident that members of the association will build more houses this year as they consider building low income affordable houses to ease the housing deficit in Ghana.
Members are also being encouraged to go into renting especially in the urban areas where lack of affordable homes are prevalent considering the cost of renting coupled with other factors as it hopes to work harder and provide more housing units to Ghanaians.
“Especially in the urban areas, this is becoming a major problem, lack of affordable rental facilities because some houses costs as much as GHC250 a month while tenants are required to pay 2 years advance. That is a huge challenge coupled with lack of accessibility to water and thus looking at it from this angle we are encouraging our members to go into renting.”
He was however quick to add that there has however being projects to develop slum areas in Ghana which has fairly being successful one of which was the “Slum Upgrading Facility project in Ashaiman- an Accra low income housing area which was a joint project undertaken by UN- HABITAT and the Ministry of Water Resources, Works and Housing. Other partners of the project were the Ashaiman Municipal Assembly and People’s dialogue as well as Tema Traditional Council.
Reacting to why members of the association do not offer affordable homes he said it is true prices offered by most real estate developers are a bit out of the range of majority of Ghanaians but the economic facts of life would not allow them to price lower than what will grant them their benefit.
“Our members are business men who borrow from the banks and are expected to repay back with interest between 27 to 32 per cent while there is always constant increase in price of materials and other factors which leave them with no option than to price in a way that will earn them their profit too,” he said.
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