Modalities for cement, steel distribution being worked out by Gov’t

The method for the distribution of steel and cement announced by President Irfaan Ali, as part of government’s support for home builders, is being worked out by the Housing and Water Ministry’s Central Housing and Planning Authority (CHPA).

On Friday, Ali announced that persons constructing homes costing $6M or less, will be given the steel needed and one sling of cement for the construction of the foundation. He noted that for home builders spending $6 to $25M, government will provide two slings of cement.

Minister, Collin Croal, revealed that a technical team is combining the final documentation for the initiative.

“We have the information but we want to make sure that we present that package, all we have always done, we present that package as transparent and as much information as possible. So, within a week time, if you may, or even before but just give us within a week,” he explained.

“I have persons coming to my gate asking me about the programme. Obviously if you hear anything about assistance for a sling of cement and steel, or if it’s the higher bracket, two slings of cement you want to know as quickly as possible,” Croal said.

CHPA’s Chief Executive Officer (CEO), Sherwyn Greaves stressed the need for transparency and accountability during the implementation of the initiative.

“When you see the modality, it will be very clear and transparent on how we will go about doing it,” he said.

The minister said that in addition to the provision of steel and cement, home builders will also benefit from a 3.8 percent interest on home loans up to $9M.

As such, the initiatives announced by the president add to the host of measures already implemented by the Government to help citizens own their own home, enhancing their quality of life in keeping with its manifesto promise.

Further, when the administration came into office in 2022, Value Added Tax (VAT) were removed from construction materials including sand, stone, concrete blocks, lumber, and subsequently cement.

Therefore, the low-income threshold was raised from $8M to $12M, New Building Society’s loan ceiling increased from $12M to $15M and the Mortgage Interest Relief threshold increased from $15M to $30M. In addition to the turn-key initiative and house lot allocation exercise, the government has implemented a Home Construction Assistance Programme to allow persons easy access finances to construct their homes.