Uhuru’s Loans Obsession Directs Him To World Bank

It is now very obvious that President Uhuru Kenyatta has an obsession for loan after he went forth to acquire another loan from World Bank after unsucessful China trip.

The World Bank has approved a loan to boost the implementation of Kenya Affordable Housing Finance Project (KAHFP) under the governments Big 4 Agenda.

The loan is expected to provide a silver lining for the Jubilee Government after public skepticism over the intended project.

World Bank on Wednesday announced that the KAHFP will support the establishment and operationalisation of the Kenya Mortgage Refinance Corporation (KMRC), a largely private sector-owned and non-deposit taking financial institution supervised by the Central Bank of Kenya (CBK).

KMRC will be 80 percent owned by the public and the remaining 20 percent by the National Treasury.

“The project will also assist the Ministry of Lands and Physical Planning to improve property registration and address structural constraints in the land management system in Kenya,” the World Bank stated in a statement.

A report revealed that besides the World Bank, 20 other private banks and SACCOS have contributed to the government’s kitty to construct affordable houses.

This comes amidst public criticism on the intended government taxation on employed Kenyans with a monthly deduction of 1.5 percent up to a maximum of Ksh 5,000.

The move was met with major backlash with the public questioning the governments’ accountability in terms of the funds’ expenditure.

This will be a relief to President Uhuru Kenyatta especially after the courts in Kenya stopped the revenue deductions by employers to fund his mega project.