Solutions to developmental challenges are increasingly framed in terms such as ‘leapfrogging’ and ‘disruption’. Where technology makes this possible, as in the energy, education or ICT sectors, this narrative is cause for hope. However, some challenges such as housing lack quick fixes.
Africa’s acute housing problem reflects a shortfall of at least 51 million housing units, according to research by Housing Market Dynamics in Africa. Triggered by population growth and urbanisation, the UN anticipates that by 2050 60% of Africans will live in urban centres, where governments are unable to meet the growing demand for housing. Roughly 50% of urban African households live in informal settlements.
The Centre for Affordable Housing Finance in Africa’s 2022 Yearbook says that creating affordable, decent housing that takes into account the climate imperative – reducing the effects of housing on the climate while limiting the impact of climate change on housing and households – would have a profound effect on economic development and social wellbeing. In the absence of shortcuts, those looking to address the challenge should support innovative, scaleable ideas that improve the quality of affordable housing or associated services.
The Habitat for Humanity Terwilliger Center for Innovation in Shelter is doing just that. The platform’s ShelterTech sub-Saharan Africa accelerator project has identified and connected African start-up and scaleup projects with private sector players, investors and other stakeholders.
“Africa’s acute housing problem reflects a shortfall of at least 51 million housing units… Roughly 50% of urban African households live in informal settlements.”
Ethiopian start-up Kubik produces affordable low-carbon bricks, columns and beams for construction, recycled from plastic waste, while Zelij Invent from Kenya manufactures affordable ecological construction products such as bricks and pavers that are more durable than traditional materials. Start Somewhere Kenya developed a ‘TwistBlocks’ system to construct durable and adjustable homes.
Nigerian company H28 connects middle-income earners and informal workers to financial institutions for long-term housing finance, while Ghana’s Sikadan Homes established an online marketplace that provides monthly rent payment options for low-income renters. In Kenya, Nyumba Mkononi uses blockchain technology to facilitate small-quantity construction materials purchases via mobile phone.
In Kenya, Majik Water produces atmospheric water that can generate 25 to 500 litres of water daily in arid regions, while Reeddi offers affordable electricity to Nigerian households and businesses operating in energy-poor regions through a portable capsule.
“Creating affordable, decent housing that takes into account the climate imperative – reducing the effects of housing on the climate while limiting the impact of climate change on housing and households – would have a profound effect on economic development and social wellbeing.”
South African companies Lumkani and Sugar Insure provide affordable alarm systems and home insurance respectively for families living in informal settlements, and fit-for-purpose insurance solutions to families living in townships, rural villages and shacks.
Each project received catalytic funding of US$10 000 from the ShelterTech platform and undertook a six-month capacity-building programme geared towards better serving regional housing needs.
Companies looking to support housing social innovation could consider partnering with this or similar local programmes including Urban-Think Tank Empower or the National Association of Social Housing. The Centre for Affordable Housing Finance in Africa collaborates with funders and partners towards making Africa’s housing finance markets work. Besides financial support, social housing initiatives such as Habitat South Africa offer worthwhile volunteering opportunities for companies, schools and individuals.
Read more about housing and living conditions:
- Read the Overview of CSI spend on housing and living conditions in 2023.
- Read last year’s stats at Overview of CSI spend on housing and living conditions in 2022.
Source: The original version of this article was published in the Trialogue Business in Society Handbook 2023 (26th edition).
