Namibia suspends multi-billion-dollar housing program
Xinhua, June 5, 2015 Adjust font size:
A multi-billion-dollar housing program launched in 2013 by Namibia's former President Hifikepunye Pohamba has been suspended due to shortage of funding.
The program was meant to built 10,000 houses from 2014 until 2016 at a cost of 2.9 billion Namibian dollars (230 million U.S dollars).
Currently, Namibia has a nationwide housing backlog of more than 140,000 houses.
It was also envisaged that by 2030, the program would have seen the construction of 185,000 low-cost houses for the poor at a cost of 45 billion Namibian dollars (3.6 billion U.S. dollars).
The urban and rural development minister, Sophia Shaningwa, announced Wednesday that the program was being suspended because there was no money.
According to the minister, the decision was made in consultation with a ministerial committee comprising ministries of
finance, works and national planning commission.
About 5, 000 people that were employed by 25 companies were working on the projects across the country have their jobs on the line.
The government housing agency, National Housing Enterprise (NHE) , that was in charge of the massive project owes the contractors more than 150 million Namibian dollars (12 million U.S. dollars).
As a way forward, Shaningwa said she has put in place a technical team that will investigate the houses built under the program.
She also said she will incorporate surveyors and evaluators from the ministry of works to assist her team to probe the project.
NHE chief executive officer Vinson Hailulu informed the contractors in a letter dated June 3 about the suspension. Endi