New housing plan: More of the same

Financial Tribune – Informed observers and academia recall the deplorable experience of the ‘Mehr Housing Plan’ that was launched by the government of former president, Mahmoud Ahmadinejad, in the last two years of his two-term presidency that ended in 2013

The government recently announced a plan to construct homes for the newlyweds and people with reasonable income or pensioners who do not own a home and cannot afford to buy one without state assistance.

Known as the ‘National Housing Action’ plan, the initiative has been discussed in the media and among housing experts, with most expressing reservations about the success of this macro plan.

One key factor, informed observers and academia recall, is the deplorable experience of the ‘Mehr Housing Plan’ that was launched by the government of former president, Mahmoud Ahmadinejad, in the last two years of his two-term presidency that ended in 2013.

The multibillion dollar housing plan for the low-income strata did deliver housing to many deserving people, but it had more than its share of controversy. As if the multiple problems were not enough, a large number of people who made advance payments have still to receive the key to their homes almost 10 years after the scheme was launched with a lot of fanfare.

How many unresolved problems that hastily put together housing plan had and still has is not the subject of this write-up.

What seems strange is that the new housing plan of the Rouhani administration and its timing—barely two years before President Hassan Rouhani leaves office after his second and last term.

Mehdi Soltan Mohammadi, who is a lecturer in Tehran, told the Persian-language news website Fararu that he fails to understand why governments think up such huge and costly projects “so late into their term(s)”.

“If governments really wish to build homes for the people, they should start as soon as they take office” and not wait for the dying years when time is running out and few if any are willing to take responsibility and get the job done.