Govt Announces Construction of New 20,000 Affordable Houses in 42 Areas

Hello Moneymakers, Washington here. In this newsletter, we are covering the construction of new 20,000 affordable houses alongside the mega auction advertised by the Kenya Union of Savings and Credit Co-operatives (KUSCCO).

Govt Announces New Affordable Housing Projects

The State Department for Housing has tendered for 47 new affordable housing projects across the country.

According to the advertisement released on Tuesday, May 20, on My Gov, the government is planning on constructing 20,944 houses.

Why This Matters: The government is racing against time to deliver 200,000 houses units annually as per the ruling Kenya Kwanza’s manifesto.

The area with the biggest housing projects includes 1,600 housing units in Soilo (Nakuru Town West), 1,144 units in Bondeni (Nakuru East), 1,000 units in Shauri Moyo (Kisumu Central) and another 1,000 units in Upper Kanyakwar (Kisumu Central.

The other notable locations include Malindi (576), Wundanyi (500), Nyeri Town (368), Kangema (220), Masinga- Machakos (200), Bondo (1,000), Kotulo- Wajir (444) and Ugunja (400), among others.

“The Mukuru Social Housing Project is transforming urban living by providing 13,248 dignified and affordable homes, including studios, one-bedroom and two-bedroom apartments,” read the statement in part.

“President William Ruto is set to hand over the keys to 1,080 fully serviced units to the first proud homeowners.”

Meanwhile, the President is expected to hand over keys to the first set of homeowners of the Mukuru affordable housing project in Nairobi on Tuesday.

The Mukuru project comprises 5,616 bedsitters, 3,024 one-bedroom units and 4,608 two-bedroom units.

KUSCCO Announces Mega Auction

The Kenya Union of Savings and Credit Co-operatives (KUSCCO) has announced the auction of properties across the country, amidst plans by the government to recover billions that were lost by saccos.

In an advertisement published on Monday, May 15, in the Daily Nation, the union will auction over 50 properties, ranging from land, vehicles, homes, and residential buildings.

Watts Auctions, which was appointed by KUSCCO, will undertake the auction on June 5, June 10 and June 15.

The listed properties for auction in Nairobi County include apartments within Kirichwa Gardens in Kileleshwa, an apartment in Nyayo estate, and a mansionette in Eastlands. 

KUSCCO has been in the limelight in recent months following an audit report, which estimated that the union lost Ksh13 billion through fraudulent practices by the top executives.

Also Read: Breakdown of Ksh13 Billion Kuscco Heist That Nearly Collapsed Saccos in Kenya

‍Residents Face a Ksh10K Fine as Nairobi County Installs Dustbins

‍People Daily is reporting that Nairobi residents will face fines and prosecution for littering following the installation of dustbins within the CBD.

Nairobi County Chief Officer for Environment Geoffrey Mosiria noted that the county government was keen on ensuring hygiene standards are maintained even as the bins are installed across the city.

“We wish to make it categorically clear that anyone found littering or spitting in public spaces will face arrest and prosecution, in line with existing county by-laws. This includes individuals who spit phlegm (sputum) on the ground instead of using a handkerchief or tissue. Such behaviour is both unhygienic and unacceptable in a modern, clean city,” Mosiria stated.

According to the Nairobi City County Public Nuisance Act, such actions attract a fine of Ksh10,000.

‍Kenya’s Debt Hits Ksh11.3 Trillion

Kenya’s debt has risen to Ksh11.3 trillion following recent increased borrowing by the government from the local market, including commercial banks and pension schemes.

As detailed by the Business Daily, this was almost a rise of Ksh1 trillion from the figures that were recorded in March last year.

It was noted that this was the second time that the debt had crossed the Ksh11 trillion mark. A similar scenario was recorded in December 2023 when the shilling weakened against the dollar.

‍Govt Seeks Tax Ideas from Kenyans

Ahead of the budget reading, the National Treasury has called on Kenyans to give their views on the budget and tax measures that can be implemented to finance the budget expected to cross the Ksh4 trillion mark.

In particular, Kenyans.co.ke is reporting that the government is keen on ideas that can expand the tax base.

“Your input should be centred on measures to support sustainable economic recovery, enhance macroeconomic stability and resilience, as well as improve livelihoods and Strategies to reduce the cost of living, eradicate hunger, create employment, expand the tax base, improve the foreign exchange balance, and promote inclusive growth.” 

“In this respect, please share specific or general tips for the FY 2025/26 Budget Statement to the email budgetstatement@treasury.go.ke with a copy to budgetstatement@gmail.com. Please share your tips or suggestions with the National Treasury by the close of business on 26th May, 2025, for consideration,” read the notice part.

Treasury CS John Mbadi will be reading the budget on Thursday, June 12.

‍More Kenyans Using Household Items Like TVs & Fridges for Loans

Kenyan families are increasingly using household items such as televisions and refrigerators as collateral for short-term bank loans, surpassing motor vehicles in popularity, Business Daily reports. This shift highlights growing financial pressure in the country’s fragile economy.

According to the Business Registration Service (BRS), a total of 291,099 household items have been pledged as security for loans since July 2021—more than any other category of movable assets.

Also Read: Highlights of the 2024/25 Budget Proposal Read by Treasury CS Njuguna Ndung’u