A Kenya-based African finance house, Shelter Afrique, Monday announced a US$20 million loan for Zimbabwean banks to finance housing.
Shelter Afrique Managing Director Alassane Ba said the loan was exclusively earmarked for housing to help Zimbabwe ease a backlog which increased sharply after mortgage lending collapsed ten years ago.
Hyper-inflation of up to one billion percent which gripped Zimbabwe over the last decade forced banks to stop mortgage lending.
Ba said several Zimbabwean banks would draw funding from the US$20 million facility, and help increase housing stock in the country.
“Shelter Afrique will continue to seek similar partnerships agreements and opportunities with financial institutions in Zimbabwe as part of its mandate to support housing development in its member states,” he said.
Shelter Afrique was set up by African governments and the African Development Bank to improve housing on the continent