World Bank – Kenya needs two million houses to stem slum eruption


The World Bank has warned that Kenya risks facing an influx of slums in its cities if the government does not build two million affordable homes to meet its housing deficit.

According to the World Bank, six out of 10 urban households reside in the slums.

In its report, the World Bank also said that the investment in housing would as well create more jobs, improve economic growth and strengthen the east African country’s financial sector.

“Many Kenyans are unnecessarily living in slum dwellings, because of limited supply and lack of affordability,” the World Bank said in a report.

“The problem will only become more acute over the next decades without a serious focus on housing and the finance of housing for the average Kenyan.”

Although only one in three of Kenya’s 44 million people live in cities, its population growth is largely urban. Most Kenyans will live in cities by 2033, the World Bank predicts.

In this regard, Kenya needs to build about 244,000 homes each year to meet demand, but only less than a quarter of that number are being built.

According to the World Economic Forum, the Kenyan capital, Nairobi, has the largest slum in Africa. The KIbera slum is home to more than 700,000 people.

With rapid urbanization, the situation is worsening as Kenya’s cities are growing by 500,000 people a year, the World Bank said.