Govt promises to allocate 50 acre plot to Shelter Afrique in Dar

17Sep 2021
The Guardian Reporter
Dar es Salaam
The Guardian
Govt promises to allocate 50 acre plot to Shelter Afrique in Dar

A 50 acres plot of land will be given to Nairobi based Shelter Afrique where demonstrations of innovative and alternative building materials will be made in Dar es Salaam.

An illustration of the defunct Bahari Beach Satellite City project was partly financed by Shelter Afrique.

Speaking in Dar es Salaam last week, Shelter Afrique’s Managing Director and CEO, Andrew Chimphondah said his delegation met with Minister of Lands, Housing and Human Settlements, William Lukuvi and his officials where discussions were held on the provision of the land.

“The minister committed to the provision of  50  acres  of  land  in  Dar-es-Salam  where  an  annual  event  showcasing  the  improvements  and breakthroughs in the building sciences can be exhibited,” Chimphondah said.

He said the housing development financier will be developing the concept and will explore the possibility of hosting the first event in 2022. In  August  of  2021,  Shelter  Afrique  through  its  centre  of excellence held  a  masterclass  session  for  government  officials  in Zanzibar to deepen capacity within the industry.

“Similar conversations are being held to hold another one in Dodoma as well before the end of the year,” he added while commending Lukuvi and Finance Minister, Mwigulu Nchemba for facilitating payment of U$2.7m being capital boost from Tanzania to boost housing innovation at the regional developer. The payment takes Tanzania’s shareholding from 0.3 to 1.54 percent.  

Effectively, the contribution now reduces ownership of the top three shareholders with Kenya’s,  Nigeria’s and African Development Bank’s shareholdings  now  standing  at  17.78 percent,  13.27 percent  and 12.83 percent respectively.

Chimphondah also thanked the government for the payment saying his management is happy with the confidence being shown by shareholders following years of bad results blamed on mismanagement.

“We thank the government  of  Tanzania  for  choosing  to  increase  its stake  in  Shelter  Afrique  despite the prevailing condition, and in particular the Ministers for Housing and Finance William Lukuvi and Mwigulu Nchemba for making the disbursements - It’s a  vote  of  confidence  in  the  company,” he added.

In addition to the Tanzania’s contribution the Company has also received  additional  capital contributions from Kenya (USD 9.92m), Cameroon (USD 3,529,801.29) Mali (USD 2,062,994), Rwanda (USD  1.1m),  Uganda  (USD  0.08m),  Togo  (USD  0.58m),  Swaziland  (USD  0.32m),  Ivory  Coast  (USD 0.57m),  and  Democratic  Republic  of  Congo  (USD  0.5m),  bringing  the  total  additional  capital receipts to $20.69m within the last six months of 2021.

 “We also wish to thank several other shareholders such as Namibia, Zimbabwe Morocco, and Swaziland, Cameroon, Kenya, DRC, Mali, Ivory Coast, Uganda, Rwanda and Togo for their positive response to the call for recapitalization, this continues to show confidence in the strategy of the company,” Chimphondah noted.

Shelter Afrique has approved financing projects of more than U$ 52.246m in Tanzania but has also has equity  Tanzania  Mortgage  Refinance  Company  since in  2014  and  has remained  an  active  member.

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