BUDGET 2025: Historic $112.6 billion to transform housing, empower homeowners

In his usual engaging budget presentation on Friday, Finance Minister Dr. Ashni Singh highlighted the government’s unwavering commitment to revitalising Guyana’s housing sector, with a monumental $112.6 billion allocated for the 2025 fiscal year.

The impressive $112.6 billion earmarked for continued housing development, brings the total expenditure for the sector to an eye-watering $191.1 billion over two years.

This unprecedented allocation will fund the construction of 1,000 additional homes, bring the number of distributed house lots to 25,000, and push the total number of house lots distributed under the government’s manifesto promise to over 50,000.

Dr. Singh also lauded the recent introduction of a single-window approval system, launched in June 2024, which streamlines the application process for prospective homeowners, allowing them to submit and track their planning applications online.

In his speech, the Finance Minister also highlighted several measures aimed at making homeownership more accessible.

These include increasing the ceiling for low-income mortgages from $8 million to $20 million and raising the housing loan ceiling at the New Building Society from $12 million to $20 million.

Additionally, the government restored the Mortgage Interest Relief ceiling to $30 million, which had been reduced under the previous administration.

These initiatives are designed to ensure that every Guyanese family, regardless of income level, can realise the dream of owning their own home.

Since 2020, the PPP/C government has breathed new life into the sector, with Dr. Singh outlining a series of transformative initiatives that have rejuvenated the housing landscape.

The government developed 85 new and existing housing areas, including Amelia’s Ward, Balthyock, and Lethem, among others.
This expansion has provided over 40,000 house lots across various income categories and facilitated the distribution of more than 10,000 land titles and transports. Furthermore, over 2,000 homes have been completed, catering to low, moderate, and young professional income groups.

To further assist prospective homeowners, the government introduced special programmes such as the Lethem Housing Support Initiative, the Steel and Cement Subsidy programme, and the Laing Avenue Housing Grant.

These efforts, along with the removal of VAT on locally produced building materials, have significantly reduced the cost of construction, making homeownership more affordable.