Today Sunday, April, 23 the president of the republic of Kenya, William Ruto has indicated that all civil servants will be deducted 3% of their salary and contributed towards the housing fund.
While attending the church in Donholm, at Friends Church (Quakers) indicated that the amount will help Kenyans in Accessing affordable housing.
He left the church in suspense as he did not mention when the deductions will take effect.
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“Every Kenyan will be able to contribute 3 percent of their salary towards affordable housing. For every 3 percent someone saves, the employer will be required by law to save an extra 3 percent,” Ruto Stated.
“As a government, we will be at the forefront in implementing this. For all employees of the government who are approximately 700,000 we will be saving 3 percent for them after they have made their own 3 percent contribution,” the president announced.
The president made it clear that the major aim of the deduction is to enable Kenyans create a fund that will Kenyans to acquire homes for themselves.
The President mentioned that his government will raise the mortgages from the current 40,000 to 2 million in order to align with the demands of the country’s economy.
The Kenya government is aimed at creating over 200,000 affordable housing units that will benefit 2-3 million households by 2027.
The president mentioned that his government already has built about 30,000 units in Nairobi.
“In the next two weeks, I will be in Makongeni to start construction of an extra 30,000 units. We have a plan to be constructing 100,000 affordable house every year in Nairobi,” he promised.
The President mentioned that he was elated with the increase in National Social Security Fund (NSSF) contributions per month.
“I am happy that we did away with the law that required Kenyans to contribute Ksh200 towards NSSF. Starting two months ago, contributions are pegged at 6 percent of everyone’s salary,” stated the president.
