Malawi Housing Corporation (MHC) has unveiled plans to construct 25 000 houses in the three major cities of Blantyre, Lilongwe and Mzuzu by 2018.
MHC chief executive officer (CEO) Wezi Mkandawire said this on Monday during an interface meeting with Minister of Lands, Housing and Urban Development Paul Chibingu.
She said the corporation will embark on the project to meet the national housing demand currently pegged at 21 000 units annually.
Said Mkandawire: “United Nations [UN] Habitat conducted a survey in 2008 which revealed that the housing demand in Malawi was at 21 000 units annually and since we have failed to meet this demand due to financial problems, the 25 000 we are planning to build will put us on the right track.”
She said a fixed asset business such as MHC takes at least 25 years before paying back, adding that they have always struggled to source loans to build houses since the last phase done between 1969 and 1971.
Said Mkandawire: “The last time MHC built a reasonable number of houses was back in the 1970s when we developed areas such as Nkolokosa, Soche East, Area 18 and others.
In response, Chibingu assured the corporation of government’s support in the drive.</p>
Said the minister: “The plans at MHC are great, but they need stable finances to ensure that they are delivered within a given time frame because we cannot afford to run MHC at a loss when there are revenue collecting avenues which are being neglected.”