Source – Business Daily
Date – April 1, 2025
Editor’s Note- This article highlights the innovative efforts by the Kenya Mortgage Refinance Company (KMRC) to expand affordable mortgage access to the 83% of Kenyans earning irregular or low incomes, traditionally excluded from such financial products. Through the establishment of the Kenya Mortgage Guarantee Trust (KMGT) and a Risk-Sharing Facility (RSF), KMRC aims to encourage banks and SACCOs to lend to informal sector workers by offering a 40% loan guarantee on mortgages capped at KES 6 million. This ensures support targets genuinely underserved borrowers. Additionally, KMRC is developing a digital credit assessment tool that uses mobile money, bank data, and even behavioral indicators to evaluate creditworthiness, enabling flexible repayment options aligned with diverse income patterns. These measures, alongside Kenya’s growing Affordable Housing Programme, mark a transformative push toward inclusive homeownership nationwide.
