Narok Senator Ledama ole Kina has faulted President William Ruto for announcing a new scheme which will see employees contribute three per cent of their salaries towards a government-run Housing Fund.
In a statement on Monday, April 24, 2023, ole Kina challenged the government to first increase civil servants’ salaries by at least 10 per cent before implementing the proposal.
“Instead of increasing civil servants including police salaries by at least 10% you are now planning to deduct 3% of their salaries to fund houses which politicians will own! From Capitalism to ‘political socialism’!” ole Kina stated.
Ruto on Housing Fund
On Sunday, April 23, 2023, President Ruto announced that every Kenya will be required to contribute at least three per cent of his/her salary towards the Housing Fund.
Ruto said that the deductions would help Kenyans access affordable housing through the Housing Fund. Ruto was speaking at a church service at Friends Church (Quakers) in Donholm, Nairobi County.
“Every Kenyan will be able to contribute 3 per cent of their salary towards affordable housing. For every 3 per cent someone saves, the employer will be required by law to save an extra 3 per cent,” Ruto said.
Ruto, who did not indicate when the deductions will take effect said that the government will be the first to implement the Housing Fund plan for over 700,000 civil servants.
“As a government, we will be at the forefront in implementing this. For all employees of the government – approximately 700,000 – we will be saving 3 per cent for them after they have made their own 3 per cent contribution,” he added.
According to the President, the government will construct over 200,000 affordable houses by 2027, with already 10,000 having been constructed in Nairobi.
