Contractors engaged in the government’s Affordable Housing Programme have been reassured of uninterrupted and timely payments, with the State urging them to complete projects promptly.
The message comes as Principal Secretary for Housing and Urban Development, Charles Hinga, emphasises that payments will remain transparent and free from any demands for bribes.
Speaking at the eighth Construction Networking Nairobi forum, which convened government officials and construction sector players, Hinga highlighted the importance of adhering to timelines while keeping suppliers and workers paid.
He noted that this approach not only ensures uninterrupted construction but also sustains cash flow in the wider economy.
“I have signed off certificates worth Sh23 billion...that will be circulating in this economy in the next few days. So, I want to give you my undertaking that we will pay you on time going forward,” Hinga said on Thursday, October 10, 2025.
“There is money for everybody. When I pay you, pay your suppliers in time, pay your taxes. I really wish you can do that. It is just the right thing to do so money is not a problem. Let us solve this housing problem together.”
Hinga’s remarks follow a period of growing Housing Levy collections, which have strengthened the funding of affordable housing initiatives. In the 2024/2025 fiscal year, the levy brought in Sh73.2 billion, exceeding the target by Sh10 billion, up from Sh54.2 billion the previous year.
The levy had faced earlier legal challenges but was legitimised by the Affordable Housing Act, 2024.
The Affordable Housing Programme forms a critical component of the Bottom-Up Economic Transformation Agenda (BETA), with a target of delivering 200,000 housing units annually.
The programme aims to reduce the housing deficit while promoting local economic activity, creating jobs, and boosting manufacturing in the housing supply chain.
Currently, the government reports that over 214,000 housing units are under construction, creating more than 330,000 jobs since 2022, with an eventual target of one million jobs across the programme.
To enhance local participation, funding exceeding Sh11 billion has been set aside for Jua Kali artisans and MSMEs supplying materials and services such as windows, doors, joinery, tiling, and landscaping for affordable housing projects.
In addition, Hinga confirmed that the government is finalising Kandarasi Mtaani, a community contracting programme designed to involve local residents directly in the delivery of housing projects, promoting ownership and economic benefits at the grassroots level.