GIZ Ghana has commenced a comprehensive capacity building for the staff of the Ministry of Works and Housing and Ministry of Finance (MoF) for the effective implementation of Ghana’s National Mortgage and Housing Finance initiative.
This initiative by GIZ, in collaboration with the Ministry of Works and Housing and Ministry of Finance (MoF), is aimed at equipping the staff to assume managerial responsibilities in implementing the mortgage and housing finance initiative.
The training will cover areas such as mortgage finance scheme, housing and mortgage finance options, legal and regulatory framework for housing and mortgage finance, mortgage operations and practice, and mortgage finance and pensions fund management among others.
The three-day capacity building held in Koforidua, welcomed dignitaries such as Mr. Detlev Jahn, the Programme Manager of GIZ Programme for Sustainable Economic Development (PSED), Mr. John Kumah, the Deputy Minister of Finance, and Ms Cynthia Odonkor, Head of Component Financial Systems Development- Microfinance PSED Ghana among others.
Speaking at the training session, Mr. Detlev Jahn revealed that GIZ was pleased to partake in government’s agenda to address the outstanding housing deficit of over two (2) million housing units in Ghana.
“We deem it an honour to contribute to this worthy cause”.
Mr. Detlev Jahn, Programme Manager, GIZ PSED
Addressing the housing deficit
Also speaking at the training, the Deputy Finance Minister highlighted some successes the mortgage and housing initiative had attained since its pilot in 2020. He outlined developmental projects such as the construction of housing units at Tema Community 22 and 26, the TDC Affordable homes and the Adom City affordable housing under the (rent-to-own scheme).
“It is worth to note that after the successful execution of the pilot phase of the initiative, the strategy now is to scale it up, set up permanent structures for the National Homeownership Fund and expand the scheme to cover all Ghanaians”.
Mr. John Kumah, Deputy Minister of Finance
Meanwhile, Mr Kumah further indicated that over 462 mortgage applications have been approved for public sector workers while some 1,500 mortgage applications are being processed by the participatory banks, pending the completion of the housing project by private developers.
“The fund is now working with players in the hosing market: home buyers, developers and banks”.
Mr. John Kumah, Deputy Minister of Finance
Going forward, the Deputy Finance Minister revealed that plans to review Ghana’s Home Mortgage Finance Act, 2008 (Act 770) has been put in place to strengthen the legal framework of the mortgage market.
Ms Cynthia Odonkor also hinted on some of the challenges that comes with home ownership in Ghana. She applauded the efforts by government and other stakeholders in addressing the housing challenge in Ghana.
“Right now, a lot of people are not having places to sleep, people are sleeping under shed, under makeshift systems, and under kiosks and others, and this is a security threat”.
Ms. Cynthia Odonkor, Head, CFSD- Microfinance PSED
Due to the financial challenges that comes with building a house through personal funding or securing a mortgage, the government established the national mortgage and housing finance scheme to address the over two million housing deficit we have in Ghana. Since its inception, the scheme has received support from various stakeholders to aid government’s agenda to provide affordable housing for Ghanaians.
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