Zimbabwe: Ecobank to offer housing finance

Jun 28, 2016

The country is battling to reduce its 1.5 million housing backlog.

Ecobank Zimbabwe is planning to offer loans for building houses to individuals "in the near future", according to the bank's chief executive.

"Yes, it is very likely we will do so (invest in property) in the near future. But the first priority is that of solving the issue of economic performance of the country. For us in Ecobank, we feel the Zimbabwean market is good for business and we are confident about success in banking products and services that we are trying to bring to the marketplace," Ade Ayeyemi told The Herald Business.

Zimbabwe is battling to reduce its 1.5 million housing backlog. The government plans to build 300,000 housing units by 2018 under a programme called Zim-Asset.

In January, a new bank dedicated to housing finance has been granted an operating licence from the Reserve Bank of Zimbabwe (RBZ).

The National Social Security Authority (NSSA)'s building society, called the National Building Society, "is now ready to spearhead governmental plans to develop residential accommodation in support of its economic turnaround blueprint, the Zimbabwe Agenda for Sustainable Socio-Economic Transformation (Zim-Asset)," said the Minister of Public Service, Labour and Social Service Prisca Mupfumira.

The new building society is expected to strengthen the NSSA portfolio by offering affordable housing loans for civil servants and low income earners who often struggle to access affordable loans, according to the minister.ADNFCR-2976-ID-801820867-ADNFCR