Slums Upgrading Facility

Development of low income housing Finance

.The project aims to provide housing finance to the low income categories that do have access to banking sector through Development of specialized housing finance products that mitigates the associated risks. The distribution channel is micro finance institutions & housing cooperatives. As availability of long term funds would be a limitation, it aims to mobilize banking & market sources of funding for the purpose.

The Facility offesr credit enhancement in the form of guarantees, to support housing and infrastructure improvement for low income end users, by attracting domestic banks into the social and affordable housing area, often for the first time, in lending to projects which reach the informally employed. The end result would be social and affordable housing and slum upgrading, with benefits that range from toilet and water hook-ups to progressive selfbuild, to construction of settlement infrastructure.


LFSUS is a company limited by guarantee and is established to mobilize resources for financing country wide Micro-finance institutions in affordable housing initiatives. It was primarily set up through a MOU signed between the Ministry of Urban Development and United Nations Human Settlement Program (UN-Habitat).