Nairobi, Kenya, February 5, 2013
—IFC, a member of the World Bank Group, today announced an investment with the support of the Government of Canada in the Housing Finance Company of Kenya to help the mortgage lender increase access to housing finance and pioneer the market for environmentally friendly housing in the country.
IFC will provide up to $20 million financing to Housing Finance Company of Kenya, including up to $4 million from the IFC-Canada Climate Change Program. This long-term funding is aimed at encouraging property developers to build eco-friendly homes. The Government of Canada’s contribution has helped make the financing package viable.
Frank Ireri, Housing Finance, Managing Director, said, “The growth of demand for housing requires increased financing to ensure that Kenyans can afford quality housing. The support from the IFC-Canada Climate Change Program ensures that Housing Finance will be able to support mortgages for purchases of homes that meet IFC’s high international standards for energy and water use.”
Oumar Seydi, IFC Director for Eastern and Southern Africa, said, “Improving access to finance and contributing to projects that have a positive impact on climate change are priorities for IFC in Africa. IFC’s support for Housing Finance Company of Kenya will make available more affordable housing finance and create opportunities for innovative, energy-efficient housing development.”
Canada’s Environment Minister, the Hon. Peter Kent, said, “The global challenge of climate change requires a global solution, and Canada is proud to support environmental efforts such as these.”
The investment is the first housing finance project for IFC in Kenya. Presently there is limited supply of green houses in Kenya and low market awareness among home buyers of the benefits of purchasing such a property. The project will apply IFC’s green building standards to test the viability of this market on a commercial scale.
About the IFC-Canada Climate Change Program
The IFC-Canada Climate Change Program promotes private sector financing for clean energy projects. Canada’s financing to IFC for this program is part of its overall fast-start financing contribution for 2010–2011. Under the Copenhagen Accord, developed countries committed to provide fast-start financing of almost $30 billion for 2010–2012 to support climate-change mitigation and adaptation in developing countries. As part of Canada’s commitment to support climate change action in developing countries, Canada is contributing $1.2 billion Canadian dollars in new and additional climate-change financing over three years (fiscals 2010–2013).
About IFC
IFC, a member of the World Bank Group, is the largest global development institution focused exclusively on the private sector. We help developing countries achieve sustainable growth by financing investment, providing advisory services to businesses and governments, and mobilizing capital in the international financial markets. In fiscal 2011, amid economic uncertainty across the globe, we helped our clients create jobs, strengthen environmental performance, and contribute to their local communities—all while driving our investments to an all-time high of nearly $19 billion. For more information, visit
www.ifc.org
. For more information, visit
www.ifc.org
.
Housing Finance
For over 47 years, Housing Finance has been “turning dreams into homes” for thousands of Kenyan families by enabling our clients to save money as they build, buy and own their homes. At HF, our mission is to remain the leading integrated solutions enabler for the property industry in Kenya. We offer innovative products and services, delivered all-under one roof by exceptionally committed people to enhance shareholder value. Our business is anchored on multiplatform solutions across the property value-chain as suppliers and financiers offering unique solutions as an environmentally responsible corporate citizen. For more information, visit
www.housing.co.ke
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