affordable housing

Affordable Housing in Urban Informal Settlements: A Catalyst for Economic Growth in Uganda

By Robert Otim A good home is a base from which one can be economically productive. Good housing improves health and productivity of the occupants who in turn have the ability to contribute to the economic growth of a country. However, about 1.8 billion people globally within urban centers are struggling to find decent and affordable housing. The lack of affordable housing is a major driver of informal settlements. These are areas characterized by a high population, small and congested housing units with limited access to water and sanitation facilities and very prone to diseases and epidemics. The demand for affordable housing especially in urban centers is one of Uganda’s biggest challenges due to its fast growing population. This is coupled with increasing urban poverty resulting into the lack of access to credit and financing options hence the inability to take on opportunities such as rental housing or mortgage-financed homes which fuels the growth of informal settlements. Land tenure issues also contribute to the proliferation of informal settlements. Many residents in informal settlements do not have secure land tenure rights, making them vulnerable to eviction and displacement. This uncertainty discourages investment in better housing, leading to the growth of informal settlements as people settle on unoccupied or disputed land. Addressing the high prevalence of informal settlements in Uganda requires a multi-faceted approach that includes affordable housing initiatives, improved urban planning, secure land tenure, poverty reduction strategies, inclusive economic development, government policies, community participation, and the collaboration of various stakeholders to tackle this complex issue. In 2008, the government of Uganda approved the National Slum Upgrading Strategy and Action Plan in an effort to slow down the growth of slums and eventually stop the creation of new ones through legal and land market reforms, revamping planning and zoning regulations. The policy is also meant to provide security of land tenure as well as building codes to make housing more affordable to the citizens of Uganda. The policy further provides for inclusiveness by bringing all housing sector stakeholders on board to pull resources together to support government in providing affordable housing for Ugandans. Organizations such as Habitat for Humanity Uganda, a housing organization dedicated to eliminating poverty housing in Uganda has on a number of occasions yielded to government’s call through collaborating with government entities, private sector partners, and communities to seek out innovative ways of providing affordable and decent housing for Ugandans. Early this year, the organization together with the Ministry of Lands, Housing and Urban Development (MLHUD) launched the Home Equals campaign, a five year advocacy campaign dedicated to achieving policy change, at all levels, to ensure that people living in informal settlements have equitable access to adequate housing. The Home Equals campaign seeks to advocate for increased collaboration with settlers of informal settlements, accessible quality services and improved land governance and leadership by local government land committees. This campaign together with other initiatives are steps to addressing the affordability challenge in the housing sector through providing a platform and foundation to access wider development opportunities that contribute to the well-being of humanity and the country as a whole. Investing in affordable housing initiatives in urban informal settlements creates employment opportunities for workforce which not only alleviates poverty but also stimulates economic growth by generating income for individuals and local businesses. During the World Habitat Day in October this year, the MLHUD and Habitat for Humanity Uganda will hold the second annual Uganda Housing Symposium under the theme: Affordable Housing in Urban Informal Settlements as a Driver of Economic Growth at the Mestil Hotel in Kampala. The symposium will seek for solutions so that affordable housing projects serve as a catalyst for micro-enterprise development within urban informal settlements. As new housing units are built, the demand for local goods and services increases. This presents an opportunity for small businesses to flourish, providing goods and services such as building materials, plumbing, electrical work, and home furnishing. By supporting these micro-enterprises, the local economy is strengthened, creating a ripple effect of economic growth. Access to affordable housing in urban informal settlements directly impacts the health and education outcomes of residents. Adequate housing provides a safe and healthy living environment, reducing the prevalence of diseases and improving overall well-being. Moreover, children living in stable housing are more likely to attend school regularly, leading to better educational outcomes. Investing in affordable housing not only improves living conditions but also contributes to the development of a healthier and more educated workforce, which is essential for economic growth. Affordable housing initiatives can serve as a catalyst for the development of infrastructure in urban informal settlements. As housing projects are implemented, there is a need for improved road networks, water and sanitation facilities, and electricity supply. These infrastructure improvements not only enhance the quality of life for residents but also attract future investments and economic activities in the area. The writer is the National Director, Habitat for Humanity Uganda. noffice@hfhuganda.org

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Housing

#OutToLunch: Extended infrastructure will lead to affordable housing in urban areas

OutToLunch: Extended infrastructure will lead to affordable housing in urban areas By Denis Jjuuko The community in Wakiso is stuck with three children whose father abandoned after failing to clear rent for nine months totaling to Shs630,000 or approximately US$160. The father woke up one morning and never returned according to an article that appeared in the New Vision newspaper last week. The eldest of these children is nine years old! When contacted on phone, the father said he couldn’t afford to clear the arrears, the newspaper further reported. As this story was unveiling, the Uganda National Roads Authority (UNRA) posted on its X (formerly Twitter) handle of the ongoing asphalting of the Buwaate-Najjeera Spur as part of the construction of the Kyaliwajjala-Matugga Road. Buwaate had become famous for dust and social media trolling for those who live in this part of the ever-expanding Kampala. Buwaate is about 15km from the main post office in Kampala’s central business district. Since the construction of the road commenced in Buwaate, landlords have been licking their lips with glee in anticipation of increased incomes from their properties. Politicians will claim it is their ability to lobby that led to the construction of the road as they campaign for votes in the 2026 general elections. The construction of a road changes everything in this part of the world, an indicator of how far we need to go to achieve some elusive status as a country. The lack of roads, piped water and electricity is one of the reasons why land is very expensive in greater Kampala and in many other urbanizing areas in Uganda. So, where the roads, electricity and piped water have been extended, property prices go up. In Buwaate, a plot of 50×100 feet or 0.12 decimals is going to nearly double once the road is complete. Landlords will increase rents as people seek to move into this part of the city. So how does that make land expensive? Because few areas have proper infrastructure, areas that end up getting a road become extremely expensive. Areas that have a bitumen standard road, water and electricity make life easy for those living or planning to settle there. They don’t have to pay much to extend electricity to their homes or suffer fetching water due to lack of access to piped water. In an area like Buwaate, if a 50×100 feet plot has been selling for Shs70m, it will go to Shs100m or more by the end of this year if it hasn’t gone up already. This means that people who can’t afford there, will now buy further away. Some will sell in Buwaate and look for land in Kalagi or Busiika thereby creating demand in those area. Simple economics teaches us that increased demand leads to increases in prices. As demand increases in these areas, landlords will increase the price of land and rent too thereby making it difficult for men like that father of Wakiso to afford a decent house for their children. So, if we want decent affordable houses, what do we have to do? Extend asphalt roads, electricity and piped water to every little part of greater Kampala. Have good hospitals and schools that are affordable in those areas too and have a plan on reliable and affordable public transport. If we had those everywhere, asphalting a road would cease to be news. It would stop landlords from smiling every time they see a grader in their area. Electricity and piped water would cease to be part of texts in property adverts and promotion campaigns. If there is a good road everywhere, a compactor in an area wouldn’t lead to increased property prices. Electricity poles or trenching earth for piped water wouldn’t lead to abnormal increases in prices. People would easily live in Kiringente in Mpigi town or Namagunga near Lugazi and still be at their desks at 8.00am on Kampala Road. Greater Kampala isn’t a very big area where the government can’t do this kind of work. The Buwaate-Najeera Spur that is causing all sorts of excitement is just 5km long. The Kulambiro Ring Road that caused much more excitement earlier is approximately 3.5km. Spear Motors to Ntinda is just 2.2km. So, imagine if government constructed just 10km every year in greater Kampala, the price of land would significantly go down thereby making houses affordable. I have seen some social media posts by the Ministry of Lands, Housing and Urban Development and its partners notably Habitat for Humanity promoting the upcoming annual Uganda Housing Symposium and the theme is on affordable housing. I hope that they can look at how extending infrastructure as mentioned above could solve the affordable housing issue especially in urban areas, obviously one of the most significant challenges our country is facing today. Children who are worried of a landlord throwing them out of a house will be affected mentally, denying them the ability to develop to their full potential. In fact, they would also be suffering physically as well. The writer is a communication and visibility consultant. djjuuko@gmail.com

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