In order to ensure effective implementation of the National Housing Policy, the Royal Government, through the Ministry of Economy and Finance, is preparing and revising a draft “Policy on Social Housing and Affordable Housing Development”.
It is designed to promote the implementation of the 2014 National Housing Policy and ensure sustainability in addressing challenges in the housing sector more effectively and efficiently, thereby contributing to improved public welfare.
During a December 22 meeting of the Economic and Financial Policy Committee (EFPC), Minister of Economy and Finance Aun Pornmoniroth stated that this was the appropriate time to review and discuss the preparation and revision of the draft. The updated policy will replace the 2017 Policy on Incentives and the Establishment of a National Program for Affordable Housing Development.
The finance ministry explained that the new policy aims to supply quality, safe and well-connected social housing and affordable homeownership to low- and middle-income people and vulnerable groups, as well as to expand the supply of affordable rental housing, while also promoting urban development.
Sorn Seap, president of the Cambodia Valuers and Estate Agents Association (CVEA), told The Post on December 24 that revising the draft policy is a positive step and appropriate to current social and economic development conditions. He added that the policy reflects the authorities’ attention to addressing housing issues for low- and middle-income citizens, while also helping to enhance social equity and urban stability.
“Revising this policy will help boost Cambodia’s construction and real estate sectors by increasing demand for social housing and affordable housing,” he said.
He noted that the policy will also create new opportunities for developers and stakeholders throughout the construction value chain.
“Making the policy clearer, more implementable and aligned with real market conditions is a key factor that will help increase its effectiveness,” he added.
Sam Soknoeun, president of SAM SN Group, welcomed the revision of the policy, saying it would help increase housing development projects, especially affordable housing.
“I am happy to hear that the ministry has introduced a new policy to facilitate affordable housing development, because nothing is better than having a home to live in,” he said.
“This new policy will help bring better balance to Cambodia’s real estate market and may also help reduce the oversupply of housing types that exceed actual demand,” he added.
According to the ministry, to achieve these objectives, the draft policy introduces four new aspects that differ from the 2017 policy: 1. Inclusion of social housing and affordable rental housing through enhanced participation by the government, non-governmental organisations, development partners and the private sector, 2. Expansion of financing options and mechanisms for developing social housing, affordable homeownership and affordable rental housing, 3. Adjustment and updating of project proposal criteria and target customer groups for each housing type to align with the socio-economic context, and 4. Revision of project submission procedures to ensure easier and more efficient implementation.
