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Gachagua Questions Affordable Housing Levy: “Where’s the Transparency?”

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NAIROBI, Kenya — Former Deputy President Rigathi Gachagua has once again taken a swipe at Kenya’s Affordable Housing Programme, claiming the initiative lacks transparency and unfairly burdens taxpayers.

Speaking during a recent media interview, Gachagua expressed frustration over the mandatory 1.5pc housing levy, which deducts from employees’ salaries regardless of whether they already own homes or are repaying mortgages.

“Some people are already paying off loans for houses they built or bought, yet their salaries are still being deducted for Affordable Housing. These are the things I opposed, but I was told I’m incompetent,” he said.

The housing levy, introduced by President William Ruto in 2023, was a key provision of the Finance Act 2023. 

Despite the government’s assurances that the initiative would create jobs, provide homes for low-income earners, and boost the economy, the levy quickly became a hot-button issue. 

It faced multiple legal challenges, with critics arguing that it disproportionately affects taxpayers already struggling with high inflation.

President Ruto has stood by the levy, insisting that the Affordable Housing Programme will reduce public borrowing, provide decent housing for millions, and spur economic growth.

“This fund will build homes for those in need, create employment, and ensure long-term economic stability,” Ruto stated during a past address.

Gachagua maintains that the policy is poorly structured and lacks transparency. 

With legal battles still playing out and public skepticism growing, the fate of Kenya’s Affordable Housing Programme remains uncertain.

George Ndole
George Ndole
George is an experienced IT and multimedia professional with a passion for teaching and problem-solving. George leverages his keen eye for innovation to create practical solutions and share valuable knowledge through writing and collaboration in various projects. Dedicated to excellence and creativity, he continuously makes a positive impact in the tech industry.

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