–following signing of MoU between Housing Ministry, Republic Bank
IN keeping with its drive to allocate 50,000 house lots and housing solutions by 2025, the Ministry of Housing and Water, through the Central Housing and Planning Authority (CH&PA), has signed a Memorandum of Understanding (MoU) with Republic Bank Guyana Ltd. for the construction of 500 affordable homes at Leonora, on the West Coast of Demerara.
The agreement was signed by Chief Executive Officer of CH&PA, Sherwyn Greaves, and Republic Bank’s General Manager (Credit), Venus Frith, on Saturday, at the ongoing International Building Expo at the Guyana National Stadium, Providence.
The MoU caters for the construction of the new, affordable homes at a cost of $5.5 million. According to Housing Minister Collin Croal, construction on the foundation for the first 100 homes under this initiative is expected to commence in the new week.
The Housing Minister related that this new joint agreement is a signal of the government’s commitment to promoting home ownership, which will directly contribute to the lives of all Guyanese.
He noted that this agreement is set to fill a gap that is currently recorded by the CH&PA which shows a greater need for affordable homes below $6 million.
“Only a few hours ago, we would have heard our President reinforce or strengthen the relationship between government and the financial institutions in terms of the housing sector. And so, this simple ceremony that we have here today is another testimony of what our President was speaking towards.
“And that is why we signed an MoU of commitment of our collaboration between the CH&PA and Republic bank for the construction of 500 houses along the West Coast of Demerara, for a particular bracket that is the highest within our demand on CH&PA’s database,” Minster Croal said.
The Housing Minister noted that while the government has been working aggressively and achieving targets for house lot distribution, the ministry has seen a rise in the demand for completed homes which has propelled the government to collaborate with the local banks to cater to this growing need.
“We have several persons who have been showing interest more in terms of being able to be part of our collaboration to own their own home in a fast-tracked way,” Minister Croal said.
He related that the government is committed to achieving its house lot allocation goal and is committed to the allocation of at least 22,000 new house lots within the next three years. At the Building Expo alone, the ministry is set to allocate an additional 5,000 house lots.
SEALING THE DEAL
The ministry, on Saturday, also attended to more than 1,000 persons who were invited for house lot allocation and title distribution. Those 1,000 persons are set to be well on their way to sealing the deal with banks and financial institutions, having received their titles.
Frith said that the MoU between the bank and the ministry represents the commitment of the institution to the people of Guyana to boost the quality of life enjoyed by Guyanese.
“Today’s signing of the MoU between the CH&PA and Republic Bank Guyana limited just signals the continued indication of our intent, commitment, and passion to contribute to the rural development of the communities in which we live as individuals, as well as in which we operate as an institution.
“It is meant to strengthen our existing relationships, all of which we cherish and appreciate, and to be a demonstration of our willingness to embrace new relationships all across the Co-operative Republic of Guyana,” Frith said.
He noted that the institution remains steadfast in providing the backing for persons to achieve their dream of homeownership.
This MoU between the government and Republic Bank represents the most recent collaboration between the government and the local banks to promote home ownership.
At the opening of the Building Expo on Friday, President Dr Irfaan Ali said that through agreements with the banks in Guyana, the government has been able to secure a reduction in the interest rates on loans of up to $9 million to 3.8 per cent.
And this is not the only concession that has been granted by the local banks.
“To further expand our housing programme, the banks have agreed that there will be no per cent requirements for loans below six million dollars, because of this policy of the government. So you don’t have to find the 10 per cent or the 20 per cent.
“Once you qualify through the joint window system, the government is with you. Now the commercial banks are with you; no requirements because of the singular policy,” President Ali said.
