The objective of EDPRS II is to improve the quality of life of Rwandans through sustainable economic growth for the reduction of poverty levels. Affordable housing is one of the targets entailed in the development blueprint under the Urbanization and Rural Settlement Sector. The Sector is new to Rwanda’s political and strategic environment.

Currently, 16.5 % of the Rwanda population lives in urban areas. The Vision 2020 envisions an urbanization rate of 35 % to boost socio-economic improvement. Six secondary cities will help distribute economic opportunities into all Provinces of Rwanda.

The Rwanda government under EDPRS II, has an ambitious plan to develop affordable housing units. The vision of the newly adopted National Housing Policy is:

Everyone independent of income, base of subsistence, and location is able to access adequate housing in sustainably planned and developed areas reserved for habitation in Rwanda.

The National Housing Policy provides a framework to enable the private sector to satisfy the current and growing demand for housing in terms of quantities and access costs offered to clients, and to support the purchase power among population through saving for housing and pooling of individual resources. It emphasizes the need for financing models which may be accessible to all residents including low income levels, and strives for quality and professionalism in planning and construction. One of the key concerns is to use land and resources efficiently when developing housing.

An economic boom is already visible in the construction and real estate sector across the country. Opportunities for the private sector to invest in construction are on the rise.

In reference to the survey initiated in 2012 by the City of Kigali on the 10-years demand of its housing market, the total housing requirements in in Kigali by 2022 is projected to be 458,265 dwelling units. An important aspect in meeting the demand is to maintain the existing housing stock that is in good condition, and upgrade the neighborhoods and buildings as feasible (114,197 DU). Thus, the demand for newly constructed housing is estimated at 344,068 DU by 2022 - a good investment opportunity for private players.

In a bid to address housing issues during the transition phase which will support and strengthen private sector engagement, it has been necessary to initialize an affordable housing delivery support program. As a solution to meet affordable housing demand, RHA has launched a pilot project to be implemented on 1 hectare Kicukiro Sector, Kicukiro District in the City of Kigali. Construction works are scheduled to  be completed within 2 years.  RHA identified 40 more hectares of land in Ndera Sector, Gasabo District and in Busanza Sector, Kicukiro District, intended for development by interested investors.

The private sector has particularly, such potential opportunities as investing in professional planning, building and construction services, extraction and supply of materials,  and real estate management services. The local production of building materials is envisioned to contribute to lowering costs and enhancing local economic development.

As part of a planned scheme to support private investors, which may include the provision of public infrastructure by the Government when fulfilling clear criteria set for affordable housing, eligible citizens and permanent residents will be registered by Districts as potential beneficiaries of private affordable housing projects. The new Investment Law which is in adoption process and a Draft Prime Ministers Order both in support of affordable housing projects through intensified attraction to private sector engagement.

Urbanization

MININFRA has also intensified efforts geared to ensure a type of urbanization which is well-managed. Part of the strategy is the support directed to the development of secondary cities to provide attractive locations for high quality life. All secondary cities will, over the coming 4 years, each implement an investment package tailor made by them to address the most urgently needed improvements to infrastructure to be able to accommodate the increasing urban population, and to provide an environment favorable to local economic development. 

High on the list is the continued servicing of sites with basic infrastructure, based on participatory urban planning documents, and the investment in upgrading of informal settlements, which is starting in Huye, Musanze, and Nyarugenge in the City of Kigali..

The new Urban Planning Code and the Building Code were recently adopted by the cabinet and now provide clear physical guidance to urban planning and building in Rwanda, important for well-planned sustainable growth.

Urban Upgrading

The strategic upgrading informal settlement in urban areas was initiated in Nyarugenge District, Nyarugenge Sector, Agatare Cell.

In a short term, and in the same context, it is also expected to upgrade other informal settlements located in Musanze District at “Tête à gauche” area, as well as in Huye District in Gatobotobo Cell. A National Informal Settlement Upgrading Strategy will underline the principles and prioritization measures to be applied for possibly the highest number of settlements benefitting from limited resources.

RHA in partnership with UN-HABITAT and UNDP has already in the recent past completed settlement upgrading in the Western Province. The project aimed at improving the lives of people living in informal settlements in the urban areas of Karongi and Rusizi Districts by improving access to basic infrastructures, making the dwellings better accessible, and providing drainage, water and sanitation.

Under the project, blocs of toilets, water access points, storm water canals, bridges as well as storage facilities for fish and vegetables were constructed, in a bid to empower local women cooperatives.

Rural settlement

To address life and human settlement in the rural areas is a complementary aspect when targeting socio-economic improvement for all Rwandans. Rural settlement shall facilitate the access to basic services and to socio-economic opportunities. As part of this, the development of IDP model villages which are sustainable and green hubs of growth in the rural areas is an ongoing intervention.

Current implementation initiatives

A Real Estate Investment Trust is in preparation, with the shareholders being Development Bank of Rwanda (BRD), Rwanda Social Security Board (RSSB), City of Kigali (CoK), Private national and international investors. One PPP is currently operating under a MOU for the development of the Batsinda II. It is in detailed design stage. RSSB is financing the implementation of Batsinda II. RSSB has issued 2 more tenders for affordable housing development and Horizon Group works on establishing a production of prefabricated concrete building elements. Other investments in the local production of affordable construction materials are being made, and shall further be encouraged.

Outlook

To achieve all of the above, the overall goals of well-coordinated urban and rural settlement planning, green urban growth, and an innovative and competitive construction sector are pursued. Coordination is defined through a newly adopted legal framework to ensure the participatory and integrated elaboration and implementation of Masterplan.

The District One Stop Centers play the most crucial role in the successful management of development and in the implementation of all new policies and legal directions, and will be the center of attention when introducing tools which help to make all management and planning tasks efficient, accompanied by professional training.  One of the significant tools which will support integrated planning is a planned online platform containing all infrastructure and settlement data.

Do not wait, engage with your local authorities and become part of shaping your built environment for a good urban future.