BancABC, Shelter Afrique sign US$11m housing deal

MONA-LISA DUBE

BancABC Zimbabwe has signed a US$11m deal with pan African financial institution ShelterAfrique to fund the construction of houses for low to middle income earners, Business Times can report.

The deal will see the construction of over 2000 houses.

Speaking on the sidelines of the signing ceremony, BancABC managing director Lance Mambondiani said the deal was timely for the economy considering that foreign direct investment has been depressed.

“We are very excited with this development as this is a measure of confidence that we believe is being shown by Shelter Afrique in Zimbabwe at a time foreign direct investment has not been coming to the country. So this is something that we believe is a show of support to the country.

BancABC will work with various players in the construction sector including the Ministry of Housing and Social Amenities which is currently faced with a housing backlog.

“I am firmly of the view that its solutions like this which brings in the private sector and also the public sector as well as international institutions like Shelter Afrique  which will allow us to solve the housing crisis in the country,

Speaking to the Business Times on the sidelines of the signing ceremony Shelter Afrique Senior Legal Counsel Kuria Njiinu said the financial institution was confident of Zimbabwe despite the country facing macro-economic challenges.

“We are happy to partner with good organisations like BancABC. We have of course lent to other banks locally such as CABS and CBZ. We want to show our confidence in the market of Zimbabwe and we are here to support them in achieving their goals and objectives.

Shelter Afrique is a finance institution that supports the development of housing and the real estate sector in 44 countries across the continent. The financial institution last advanced funds to Zimbabwe over a decade ago.