Analyst trashes housing subsidy budget

Renowned social commentator Lucky Mbewe has asked government to revise the proposed budgetary allocation for the Decent and Affordable Housing Subsidy Programme (DAHSP).

In the proposed 2018-19 national budget, the Malata and Cement Subsidy initiative has been allocated K10 billion, up with K3bn from the 2017-18 revised figure of K7bn.

Mbewe said the program is not economically sustainable and government could have instead allocated the funds to infrastructure development.

“It would have been of importance if the huge allocation was to be allocated to the construction of roads. Business people are failing to do their businesses because of poor transportation,” he said.

It is expected that that about 8,000 houses will be constructed and rehabilitated from the project in the 2018-19 financial year.

President Peter Mutharika launched DAHSP in Lilongwe in 2014 to ensure the provision of decent houses to the elderly, disabled and other poor people in rural areas.

The Mutharika administration has been under constant pressure from the opposition parties and economic observers, saying it is not economically viable.

Mutharika openly rejected any move to stop implementation of the programme.

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