The government of Namibia has set aside N$510 million towards Namibia’s affordable housing project and municipal infrastructure in the current financial year. This allocated money is nearly half of the total budget allocation towards the urban and rural development ministry, totalling N$1.6 billion for the 2021/22 financial year.

This year’s allocation represents a 3% reduction from last year’s budget allocation of N$1.7 billion. Over N$1.1 billion is earmarked for the operational budget, and the development budget is more than N$ 580.1 million.

Motivating the ministry’s budget in the National Assembly this week, urban and rural development minister Erastus Uutoni said this allocation makes up a large percentage of the development budget. Also the allocation will go towards funding interventions on urban and regional planning, land servicing and support to housing development initiatives that are carried out by the ministry, regional councils and local authorities.

“Our interventions on land delivery will largely focus on increasing tenure security and the provision of basic municipal services as well as low-cost housing, especially in informal settlements,” Uutoni noted. He said this will be done through flexible and incremental approaches such as the Flexible Land Tenure System, as well as pre-allocation of land, which is planned but may still have to be serviced, or is only partially serviced.

As part of the government’s ongoing efforts to scale up the provision of affordable housing, allocations in the amounts of N$5 million and N$10 million have been made for the National Housing Enterprise (NHE) and the Shack Dwellers Federation of Namibia (SDFN), respectively.

Namibia’s affordable housing project has major activities to be carried out. Some of these are: reviewing the national housing policy, scaling up the delivery of much-needed serviced land through a partnership between and with local authorities, public and private sector partners, as well as community initiatives such as the SDFN. The formulation of a national informal settlement upgrading strategy is another activity planned.


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