By Davison Vandira
ONE of the key pillars of the National Development Strategy One, housing development, is experiencing an excessive boom, with economic analysts impressed by the progress which points to sustainable economic reconstruction of the country.
The country’s economic development agenda is based on 14 key clusters under the National Development Strategy One which include infrastructure, utilities, value chain transformation, social protection, fiscal consolidation and governance, among others.
While attention has been drawn to other areas, the boom in the real estate sector has not been given due recognition.
The transformation has, however, been confirmed by the preliminary statistics on housing characteristics and living conditions, which indicate a positive trajectory.
The government has been a key player complemented by the private sector and individuals leading to a construction boom reflective in the entire construction value chain with unlimited economic offshoots to other sectors of the economy.
Economic analysts have given credit to government for creating a conducive investment environment laden with boundless opportunities within the capital intensive construction industry saying it will uplift living standards in line with Vision 2030.
“From a development perspective, one cannot ignore the high level of housing development that is taking place which confirms the level of income that is available for investment and this is very critical for Zimbabwe because what is happening in the construction industry triggered other economic sectors as well.
“As real estate developers, we are satisfied with the level of investment largely by Zimbabweans and the kind of construction taking place is testimony to favourable operating environment,” said Dr Prosper Chitambara, a development economist.
“Real Investment is being confirmed by the construction activities taking place. It’s the designs that speak volumes on savings that are manifesting as real housing developments and furthermore, 80% of these developments are being financed by savings and the other 20% from loans,” said economist, Titus Mukove.
The remarkable developments in Zimbabwe’s real estate sector have been corroborated by the Zimbabwe National Statistics Agency’s latest report, which shows that 59% of Zimbabweans are proud homeowners.