Bloomberg.com: Africa
South Africa Power Crisis Hurts Housing, Business Report Says
By Vernon Wessels
March 26 (Bloomberg) -- South Africa's low-cost housing shortage is being compounded by a power crisis that has halted property development, Business Report said, citing the Banking Association of South Africa.
The backlog of 2.3 million homes may foment social unrest if it isn't addressed, the Johannesburg-based newspaper reported. The cost of building low-cost homes climbed 25 percent over the past year, it added.
South Africa's four biggest banks lent 38 billion rand ($4.7 billion) for the low-cost housing by the end of last year, reaching 810,000 families, Business Report said. Banks will probably exceed by a fifth a government target of providing 42 billion rand in loans by the end of this year, it added.
To contact the reporter on this story: Vernon Wessels in Johannesburg at vwessels@bloomberg.net Last Updated: March 26, 2008 02:38 EDT