Housing PS Hinga Calls for Introduction of Idle Land Tax
Housing Principal Secretary Charles Hinga has proposed the introduction of a tax on idle land in a move aimed at freeing up land for development projects.
Hinga pointed out that the prices of land in Nairobi are rated among the most expensive in the world mostly because people are holding land.
His proposal would see individuals with land that has remained undeveloped and unutilized for a long subjected to pay tax for the same.
The principal secretary similarly faulted the building of prison facilities in the heart of most towns in the country, thereby curtailing growth and expansion.
Hinga indicated that the government is considering moving prisons out of urban centers so that the huge parcels of land they occupy can be made available for the affordable housing program.
He also called on Kenya Railways and other State agencies to cede land they are not using for the affordable housing program, which seeks to reduce the emergence of informal settlements and ensure Kenyans have access to decent, affordable, and adequate housing.
Hinga argued that most Kenyans live in places without basic services, and lack proper sanitation, adding that 92% of people in Nairobi rent houses because they cannot afford to buy a home.
Through the affordable housing program, Hinga said the government seeks to increase the number of people servicing mortgages to one million from the current 30,000 while paying favorable affordable ownership terms of monthly payments of as low as Sh5,000.
The affordable housing program, he said, will also go a long way in promoting economic recovery by linking MSMEs and the Jua Kali sector to these projects while generating jobs for the youths.
Hinga was speaking in Naivasha during the induction retreat for the Senate Committee on Roads, Transport, and Housing.