Can Madani Deliver One Million Affordable Homes


 


One million affordable homes in 10 years (2026 - 2035), as promised by Prime Minister Anwar Ibrahim during the tabling of the 13th Malaysia Plan (13MP) in Parliament.
Can this be achieved? It’s a recycling of the promise by former housing and local government minister Zuraida Kamaruddin (then from PKR) to build one million cheaper homes in 10 years (2019-2028).
That pledge was interrupted by the Sheraton Move.
What about Anwar’s promise? I sincerely hope that it comes true this time. But right off the bat, there are conflicting statistics.
ADSAt its initial announcement on July 31, it was reported that as of March 2025, some 180,000 affordable homes had been completed.
This was 36 percent of the 500,000-unit target set under the 12th Malaysia Plan (12MP). Another 312,591 units have been approved and are at “various stages of construction”.
But three days later, Housing and Local Government Minister Nga Kor Ming declared that a total of 492,360 affordable houses “have been built” as of March 31. This means that Putrajaya had hit 98 percent of its 12MP target of building 500,000 affordable houses.
Housing and Local Government Minister Nga Kor MingSo, why the discrepancy? Or is Nga taking a loose view that houses are deemed to have been “built” even if only a few bricks had been laid?
Greed vs Need 
Let’s face it, the main obstacle to cheaper housing goals is profits. Developers want to build fewer or none of them, while poorer B40 folks are hungry, indeed desperate, for at least one shelter they can call their own.
There is an added complication. Former economy minister Rafizi Ramli has revealed that PKR, a party born from reformasi ideals, has now been flooded with lavish gifts to buy members’ support.
Where is this money coming from? He said rich tycoons can now influence party elections with the D-word: “donations”.
So, have developers “donated” to politicians to ensure that the rules are relaxed?
In June 2023, Anwar announced that the construction of affordable houses would be made “compulsory” for new housing projects in Kuala Lumpur. This was in the early part of the Madani government.
But by Aug 2024, this promise had been watered down. Anwar then said that housing developers would have “easier approvals” if they include affordable housing in their projects.
In other words, what was “compulsory” had become “optional” within 14 months. Why the change?
ADSCage homes?
It’s the government’s job to ensure that housing is affordable, especially for lower-income groups. 
Like public schools, Malaysia must decide if basic housing is a fundamental need that all citizens are entitled to.
Or is it a commodity where speculators, developers and yes, politicians can make huge profits at the expense of the majority?
As China’s president Xi Jinping said in 2017, “houses are for living in, not for speculation”.
This is something that hyper capitalist Hong Kong had long neglected, leading to people living in notorious “cage homes” measuring just 4 by 4 by 6 feet each.
We don’t want a situation like the United States either, where 86 percent of renters say they would like to buy a home, but can’t afford one, according to a CNN poll.
This means they can never acquire the most important store of wealth and will forever remain wage slaves who enrich wealthy landlords.
While outlining the 13MP, Anwar talked about a renewed rent-to-own (RTO) scheme, which allows families to rent a property first before being able to buy it.
As many cannot afford home down payments, this should be extended to more people.
What is ‘affordable’?
High housing costs also mean that people need higher wages just to pay their rents or instalments, and the economy thus becomes less competitive.
The global standard for an affordable home is one priced no more than three times a household’s annual income. 
So if a husband and wife earn RM6,000 a month, they can only afford a flat priced below RM216,000. Is that possible when there are long queues for new, cheaper homes?
“Affordable homes” should not mean “affordable loans”, noted the Khazanah Research Institute.
This means that prices remain high, but loans are stretched out over two generations. That is merely a device to continue enriching certain quarters. 
Many young buyers are forced to buy properties in places far, far from the city due to “shrinkflation” - rising prices while homes become smaller.
Meanwhile, old, cheap city flats will probably be demolished and turned into swanky condos under the developer-friendly Urban Renewal Act.
States and cronies 
Anwar also spoke about establishing a single national housing agency.
But unlike Singapore’s Housing Development Board, Putrajaya does not control land in states outside the federal territories. Under our Constitution, that is under the jurisdiction of different states.
Anwar himself admitted that the one million homes goal will need “collaboration with federal and state governments and private developers.”
Yet, as R Nadeswaran pointed out, some states had allowed loads of agricultural land to be converted for residential development without any allocation for affordable housing.
He added that even land meant for religious purposes and public amenities had ended up in the grubby hands of politically connected people. 
In conclusion, I really hope that Anwar’s goals for affordable housing can be achieved.
But that can happen only if he dismantles the tangled web of vested interests that includes tycoons and politicians. - Mkini
ANDREW SIA is a veteran journalist who likes teh tarik khau kurang manis. You are welcome to give him ideas to brew at [email protected].
The views expressed here are those of the author/contributor and do not necessarily represent the views of MMKtT.


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