Rwanda's Minister admiring Egypt's Affordable Housing Model; SHMFF Welcomes Joint Cooperation
During a site Visit to Presidential Initiative "Housing for All Egyptians" in Capital Gardens City: May Abdel Hamid Meets Rwanda's Minister of State for Infrastructure, reviews latest progress of the initiative’s implementation.
Rwanda's Minister admiring Egypt's Affordable Housing Model; SHMFF Welcomes Joint Cooperation
In line with the directives of Engineer Randa Al-Manshawy, Minister of Housing, Utilities and Urban Communities, Ms. May Abdel Hamid, Chief Executive Officer of the Social Housing and Mortgage Finance Fund, met with Hon. Jean De Dieu UIHANGANE, Rwanda's Minister of State for Infrastructure, during his official site visit to units of the Presidential Initiative "Housing for All Egyptians" in Capital Gardens City.
The Rwandan Minister was accompanied by a high-level official delegation, including Ambassador Dan Munyuza, Rwanda's Ambassador to Egypt, Mr. Sam Kalisa, Communications Officer, and a number of senior officials from the Rwandan Ministry of Infrastructure.
At the outset of the visit, Ms. May Abdel Hamid delivered a comprehensive presentation on the implementation status of the Presidential Initiative "Housing for All Egyptians," covering key demographic indicators and the scale of challenges and opportunities in Egypt's housing market, where annual demand is estimated at approximately 400,000 housing units.
She noted that the program was launched in 2014 with the objective of delivering one million adequate housing units for low-income citizens, with financing sustainability ensured through the mortgage finance initiatives. The Social Housing and Mortgage Finance Fund was mandated to achieve this goal. She further noted that unified eligibility criteria have been established based on rigorous studies and periodic assessments, ensuring that subsidy reach eligible beneficiaries
Ms. May Abdel Hamid confirmed that the Fund has successfully offered more than one million housing units to low-income citizens, meeting its targets while continuing to launch new offerings to address growing demand reflecting the trust citizens have placed in the Fund as a result of its commitment to eligibility criteria and timely unit delivery.
She stated that the Fund has completed construction of 806,000 housing units, of which 637,000 are located in new cities and 169,000 in governorates. An additional 205,000 units are currently under construction, including 48,000 green housing units, with a total of 721,000 units allocated
Regarding the middle-income households, 32,500 housing units are planned to be allocated, with 16,800 finished units, out of which 14,300 units in new cities and 2,500 in governorates. In addition to 12,000 units are currently under construction and 3,600 units are recently included in tendering process.
Ms. May Abdel Hamid also mentioned the “Green Building” initiative, through which the Program adopts a sustainable development approach that reduces energy and water consumption, carbon emissions, and solid waste. She noted that more than 25,000 green housing units are GPRS certificated, while more than 14,000 units are EDGE certificated reflecting the State's commitment to sustainable development goals and improving citizen’s quality of life.
Ms. May Abdel Hamid stated the total number of the program beneficiaries as it has reached approximately 710,000 citizens. Total subsidy provided ranges from 50% to 60% of the unit price and includes direct cash subsidies deducted from the unit price based on the applicant's income level, indirect subsidy including utility infrastructure and land costs, and interest rate subsidies.
She further noted that the value of mortgage financing extended to beneficiaries has reached approximately USD 2 billion, delivered through partnerships with 22 public and private banks in addition to 8 financing companies. Concessional financing is offered at a subsidized interest rate of 8% for low-income beneficiaries and 12% for middle-income beneficiaries, with repayment periods up to 20 years.
Ms. May Abdel Hamid reviewed the program’s key performance indicators, including the geographic distribution of units in accordance with population density, with Greater Cairo accounting for the largest share. Additional highlights include a female ownership rate of 25%, with 47% of beneficiaries employed in the private sector and 25% being self-employed.
Ms. May provided a detailed overview of Capital Gardens City, one of Egypt's fourth-generation cities located east of Badr City in proximity to the New Capital. The city spans an extensive area and encompasses more than 130,000 housing units, complemented by a fully integrated service including schools, healthcare units, nurseries, commercial markets, public service offices, clubs, and sports facilities providing residents with a comprehensive and self-sufficient living environment.
Mr. Jean De Dieu UIHANGANE, Rwanda's Minister of State for Infrastructure, admired the Presidential Initiative "Housing for All Egyptians" and the achievements it has delivered, describing it as an exemplary model for the provision of adequate affordable housing for low-income citizens.
He also commended the active participation of the private sector in delivering housing units rather than relying exclusively on government contractors, recognizing the significant role this plays in accelerating implementation and broadening the program’s reach. In this context, Ms. May noted that the Fund is preparing to launch a new private sector partnership program in the near future.
The Rwandan Minister further enquired about Egypt's mortgage finance framework, affirming that access to financing is a decisive factor in the success of programs of this nature. He expressed Rwanda's interest in replicating Egypt's social housing experience in his country a prospect that Ms. May warmly welcomed, affirming the Fund's full readiness to transfer its expertise to the Rwandan side in a manner that serves the best interests of the Rwandan side.
Following the meeting, Ms. May accompanied the Rwandan Minister and his delegation on a site visit of Capital Gardens City, which included visits to the green social housing units. The Minister commended the quality of unit’s finish, the availability of green spaces, and the comprehensiveness of integrated services, which would encourage citizens to relocate and settle in the city.
At the end of the visit, both parties agreed to maintain ongoing communication and advance joint cooperation in a manner that serves the mutual interests of both side.