- COTU raised the alarm that housing funds are being channelled into non-housing projects.
- The union fears MPs may misuse the money under vague “social infrastructure” rules.
- PS Charles Hinga says COTU helped create the law and knows the funds also support nearby services.
- He defended the move, saying low-income areas need more than houses.
- President Ruto recently said 260 markets will be built using the levy.
The government has rubbished COTU’s claims that billions collected through the housing levy are being wrongly used to build projects like markets instead of homes. According to Housing Principal Secretary Charles Hinga, the Central Organisation of Trade Unions was present in the meetings that shaped the Affordable Housing law and cannot now pretend to be unaware.
Hinga argued that housing isn’t just about putting up structures, but also about creating complete communities. He explained that markets, hospitals, schools, and other services are necessary for settlements to function, especially in areas with limited access to transport.
“You can’t expect people to live in houses with no schools or shops nearby. That’s not development,” he stated.
COTU Raises Red Flag as Ruto Confirms 260 Market Projects
COTU had earlier this week raised the alarm, saying the new Affordable Housing Regulations might allow politicians to spend the funds on unrelated projects. The union cautioned that the term “associated social infrastructure” could be abused to push for things like health centres, fire stations, or public halls, while ignoring the housing goal.
But Hinga fired back, saying the same workers complaining will benefit from these new spaces. “The markets being built will serve those who pay the levy. They’re not for outsiders,” he said, adding that county governments will manage them for public use.
President William Ruto recently added more fuel to the debate when he announced that 260 new markets will be constructed across the country using housing funds, markets placed next to affordable housing projects to boost local business.
As tensions rise, it’s clear both sides need to find the middle ground to ensure the housing program stays on track, supporting not just shelter, but the daily lives of Kenyan workers.
