The Institute of Economic Affairs CEO Kwame Owino has faulted the move by the government to propose a three per cent housing levy.
Owino who was speaking on Citizen TV on Monday said the move is based on the assumption that everyone wants to own a house in the urban areas.
He said more than 80 per cent own the homes they live in adding that the country has a general obsession with creating funds to solve problems that do not exist.
“More than 80 per cent of Kenyans actually own the homes in which they stay, the problem might be the quality of that house,” he said.
“I think that we are solving a problem that does not exist by talking about a housing fund.”
He warned that the way the fund is designed is likely to result in disaster especially due to corruption that is likely to emanate from it.
“It is just a bad idea being fueled on a rocket and I think it won’t end well in addition to the corruption that will come from it,” he said.
Last month, President William Ruto said civil servants will start contributing three per cent of their income to a Housing Fund.
He said this was part of a plan the State will soon introduce.
Ruto said the contribution will help civil servants purchase houses built under the Affordable Housing project.
