Gachagua: There’s no transparency in affordable housing

Former Deputy President Rigathi Gachagua has said that there is no transparency in the Affordable Housing programme.

According to Gachagua these are some of the things he opposed and ended up being told that he was incompetent.

The former DP questioned why some people have to forcefully pay the housing levy from their salaries when they already have homes and others already paying loans they took to build their houses.

“Affordable housing, there is no transparency. Some people are already paying loans for their own houses they are building or they bought or built. But now, they are still having their salaries for Affordable housing. These are the things I was opposing and I was told I'm incompetent,” Gachagua said.

The mandatory levy was introduced by President Ruto in 2023.

The 1.5 per cent levy on the salaries of all taxpaying Kenyans, to be matched by employers, was signed into law in June 2023 to fund an affordable housing programme, but faced multiple legal challenges.

The levy was imposed as part of legislation that raised taxes on a wide range of items, adding to the hardship of Kenyans already hit by high inflation.

The Finance Act 2023 aimed to raise more than $2.1 billion to help service Kenya's huge $78 billion public debt.

Ruto defended the housing fund, saying it will construct homes for the poor, create employment and reduce public borrowing.