President John Dramani Mahama of Ghana has directed the Minister of Finance to allocate GH¢1 billion in the 2027 Budget for the National Housing Fund. This fund is part of a larger GH¢3 billion revolving initiative aimed at providing financing for housing projects. The goal is to make affordable homes more accessible to Ghanaians. The announcement was made during the maiden National Conference on Housing Finance in Accra on October 7, 2026.
The President emphasized that Ghana's housing challenge is not just about inadequate housing supply but also the difficulty many households face in securing affordable financing. He noted that self-employed workers, such as traders, artisans, and farmers, often have regular incomes but struggle to qualify for mortgages due to the lack of payslips or conventional banking records. This highlights the need for alternative methods of assessing borrowers.
President Mahama urged financial institutions to consider alternative ways of assessing borrowers, including their savings history and verifiable business cash flows. This approach could help more Ghanaians access mortgage financing. The President also highlighted the current housing deficit in Ghana, which stands at 1.8 million units. He stressed the need to increase the number of people who become homeowners each year while ensuring that financing costs remain affordable.
The National Housing Fund's Mortgage Scheme currently offers cedi-denominated mortgages at an interest rate of 8.4 percent, down from 13.5 percent. Financing for developers under the scheme is available at 10.4 percent. According to the President, over 1,000 people have been supported to own homes through interventions involving the Fund and partner financial institutions. The government aims to extend such financing to more Ghanaians.
President Mahama also announced a new Easy Rent programme under the National Housing Fund. This programme will help workers deal with the burden of large upfront rent payments. Under the proposed arrangement, the NHF will pay the rent advance on behalf of a worker, who will then repay the amount through monthly instalments. This initiative aims to ease the financial pressure created by rent advances, particularly on young households.
The President shared his personal experience of facing financial challenges when starting his life with his wife, Lordina. He recalled the additional fee paid to a housing agent almost depleting their finances. Many young Ghanaians face similar challenges, with rent advances consuming savings that could otherwise be used for children's education or family businesses. The Easy Rent programme is expected to complement the existing National Rental Assistance Scheme.
The National Housing Fund's initiatives, including the Mortgage Scheme and the Easy Rent programme, aim to address Ghana's housing challenge. With the government's contribution of GH¢1 billion to the fund, more Ghanaians are expected to benefit from affordable housing and financing options. The President's directive is a step towards increasing access to affordable homes and reducing the financial burden on households.
Key points
- President Mahama directs GH¢1 billion for the National Housing Fund in the 2027 Budget.
- The National Housing Fund's Mortgage Scheme offers cedi-denominated mortgages at 8.4 percent interest.
- The Easy Rent programme will help workers with large upfront rent payments.
