…as “new era of housing solutions” begins with Building Expo 2022
President Dr Irfaan Ali on Friday announced sweeping new benefits for homeowners, with lowered interest rates for banking and construction materials in the pipeline at the opening of the International Building Expo 2022.
The expo has returned after a hiatus, under the theme: “A New Frontier For Building a One Guyana” and is dubbed the blueprint of the future infrastructure. It is a creative hub where investors, homeowners and businesses can engage on creative and smart housing.
In his address, Ali divulged that the expo defines imagination, innovation and positioning Guyana in a visual way to showcase Vision 2030. As such, in consultation, commercial banks have agreed that there will be no percentage requirement for loans under $6 million once persons qualify under the joint window system. Banks have also agreed that the interest rates will be reduced for housing loans under $9 million to now 3.8 per cent.
Additionally, for homes $6 million and lower, Government will support homeownership to give every builder the steel and one sling of cement. Secondly, for every other category over $6million until $25 million, two slings of cement will be provided.
“The journey to prosperity has begun. The journey is powered by one vehicle, One Guyana. Whether your political views are aligned with the Government or not, you have a seat in that vehicle,” he told Guyanese.
Since assuming office, Government has lifted the low-income mortgage ceiling from $8 million to $15 million. The NBS ceiling has been lifted from $12 million to $15 million. Value Added Tax has also been removed on construction items.
Non-performing loans improved from 11 per cent to 6.5 per cent. Loans to households improved to 13 per cent of total loans. Total loans grew by 20 per cent in less than two years, to $310 billion.
Mortgages grew by $16 billion or $21 per cent. Total lending to the construction sector was $15.6 billion as of May 2022 – a 50 per cent growth.
He spoke of the need for boldness and pushing boundaries to achieve the strategies for the country’s future. Economic diversification, social transformation, prosperous development, environmental responsibility and security are the principles being worked on for Vision 2030.
The infrastructural transformation must be linked to human transformation and life-changing upliftment, improvement of livelihoods and societal changes. Economic diversification will bring about better paying jobs and better living for Guyanese, the Head of State underscored. All of this is being undertaken on a scale never before embarked on, requiring best practices and expertise. On the other hand, he said social transformation is the only way of experiencing the fruit of physical transformation.
“The vision that we have must be supported by capital, raising the funds, encouraging the banking system to help the private sector, the small and medium sized enterprises. It must be supported by research and development, because you must find the best applicable technology to apply to the local environment.”
Collin Croal
Meanwhile, Housing Minister Collin Croal stated that the sector has been re-energised at the policy level for processing and delivery of housing development. Upgrading of housing areas has been moving rapidly, to which 12,000 house lots have been distributed to date with over 3000 titles and transports.
New allottees are also exploring newer technologies and models, which his Administration is working to fulfil. Affordability is also a cornerstone in the enabling of homeownership.
Over $100 billion is to be injected in the next three years to bridge the gap between the coastland and hinterland. Another $20 billion will go towards road expansions while $30 billion will go towards the construction of housing units.
The Housing and Water Ministry will be allocating over 5000 house lots under the “Dream Realised” initiative during this weekend’s expo. The event features technologies in the housing construction sector such as 3D printing and also enabling a model home built entirely from recycled materials.
Visionary
Minister within the Housing Ministry, Susan Rodrigues shared that as one of the fastest growing economies, Government has even laser-focused in fulfilling all of its manifesto promises.
The Ministry has dared to be innovative, with the 3D printing technology. This is the first time such advancement has been used in South America and the Caribbean – another pioneering feat in the country’s books.
With all of these developments, Rodrigues said her Administration has remained people centric and this is reflective in the distribution of 5000 house lots over this weekend in places like Great Diamond, Grove, Non Pareil and Meten-Meer-Zorg.
Focusing on Silica City, a low carbon smart city project, she said they are also keeping with sustainable goals and bringing life to Guyana’s low carbon pathway. It will incorporate sophisticated urban planning, disaster prepared with aesthetic building designs. The Minister noted that this is the epitome of visionary.
Silica City is no longer just a concept. It will soon become a stunning reality as you will see. Silica City is central to this International Building Expo…Silica City will present the transformational change that will bring life to Guyana’s low carbon development pathway. President Ali has put together a team of urban planners, architects, financial planners, and environmentalists to develop a masterplan and involved one of the best planning groups in the world as consultants,” she divulged.
Support
Chairman of the Private Sector Commission, Paul Cheong said this expo brings evidence of Government’s commitment to the sector and showcases the trajectory of development.
This can allow the private sector to work in tandem to support the construction and building industry. To the companies from abroad, Cheong placed support from the private sector to bring these investments to fruition.
The PSC Chairman relayed, “Those companies who are here, we look forward to their investment in our country and look forward to them partnering with us in the private sector. As the country develops, the demand for housing and hotels, new roads, bridges and highways increases; the opportunities for investments and innovation a new building technology can manifest.”
Chairman of the Central Planning and Housing Authority, Dr Emanuel Cummings asserted that the “astronomical development” is supported by the vision and steadfastness of the agency.
In 2021, 961 applications were approved for enterprises to establish their presence. Some 452 applications have been approved this year thus far, or 90 per cent.
The first Building Expo was held in 2010, under the stewardship of then Housing Minister and now Head of State, Dr Irfaan Ali.
Building Expo 2022 has attracted some 350 participants, of which at least 25 are foreign companies including some from the Caribbean – Suriname, St Lucia, Trinidad and Tobago and Barbados along with others from the United States, Canada, and Ghana. For Saturday and Sunday, the gates are opened to the public from 10:00h to 23:00h.
