KMRC CEO Speaks on the COVID-19 & the Real Estate/Property Market Live Virtual Forum.

KMRC CEO Speaks on the COVID-19 & the Real Estate/Property Market Live Virtual Forum.

The Kenya Mortgage Refinance Company (KMRC) CEO Johnstone Oltetia
participated in the Nation Media Group’s ‘Nation Leadership Forum’ on Thursday 23rd
July 2020 which was aired live on NTV.
Speaking as a panelist, Mr. Oltetia highlighted an overview of what KMRC is mandated
to do, its alignment with the Government of Kenya’s Affordable Housing pillar of the
Big 4 Development Agenda, its (KMRC) Operationalization and how KMRC is
positioned to support the real estate sector navigate the COVID-19 global pandemic
shock.
“The role of KMRC is to provide long term fixed rate financing to primary mortgage
lenders composing commercial banks, saccos and microfinance banks. We have
slightly over 2.2b shillings in capital, about 22 shareholders ranging from govt to
financial institutions. That kind of financing is essentially the core capital for the
institution,” said Mr. Oltetia.
Mr. Oltetia highlighted the steps that the company has been undertaking since its
incorporation in April 2018, prior to commencing lending, emphasizing the benefits
that KMRC’s home loans will accord the borrowers and support the Government’s plan
to build 500 affordable housing units under its Affordable Housing pillar of
development. Mr. Oltetia also said that KMRC’s sustainability with regards to funding will be through bond issuance, adding that KMRC expects to go to the market in a year
or two to issue bonds.
“The fixed long-term financing will provide the borrower an opportunity to see the end
from the beginning and plan accordingly. This pandemic has reminded us of the need
to have affordable housing with running water and all other amenities. We should be
focusing on developing housing at scale,” said Mr. Oltetia.
The Nation Leadership Forum is an initiative of the Nation Media Group which seeks
to stimulate discourse, encourage dialogue, shape opinions and key policy directions
and offer practical solutions on key issues critical to Kenya’s growth. Other topics of
discussion at the forum include Manufacturing, Infrastructure, Agriculture, Health,
Governance and Education. Other panelists at the Covid-19 and the Real Estate were
Eng. Maurice Aketch-Executive Director at the National Construction Authority (NCA)
and Sakina Hassanali – Head of Research and Marketing at HassConsult

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