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Habitat
for Humanity signs agreements to boost presence in Vietnam
First-ever Asia-Pacific government partnership, with Danang
City government,
set to benefit nearly 400 families
DANANG, Vietnam, 31st March 2004: For the first time, Habitat
for Humanity International is teaming up with a government
partner in the Asia-Pacific region in order to bring safe,
secure, affordable housing to low-income families.
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An agreement has been signed with the People’s
Committee of Danang City, in central Vietnam, to build
homes for nearly 400 families over three years in two
separate projects involving a total investment of US$257,000.
The Danang Fatherland Front, part of an official nationwide
welfare organization, is also a partner.
Some 192 families in the city and a similar number
in Hoa Vang, an outlying rural district, are expected
to benefit. The homes, between 24 and 35 sq. m. in size,
are each expected to cost up to VND11 million (approximately
US$750). They will be built with cement and bricks,
and will feature galvanized iron roofing sheets and
concrete floors. |
Homeowner Lam Thi Houng,
a home parner in Habitat's pilot Vietnam project,
outside her soon-to-be completed
home in
Danang
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The Vietnamese city authorities estimate there are 3,100
households living in substandard or temporary housing in Danang.
Poor households in Vietnam are defined by the United Nations
as having a daily income of less than 63 US cents per person
per household.
The agreement marks a significant scaling up of Habitat’s
activities in Vietnam. To date, Habitat has built 19 houses
with three more planned under a pilot program under the auspices
of non-governmental organization World Concern.
As with the pilot program, the new homes will be built using
Habitat’s “Save & Build” approach, which
brings together low-income families in a community to form
savings groups. The groups, usually ten to twelve families
strong, save money and materials together.
When a group has sufficient savings to build one house, Habitat
normally provides matching loans to build two more, and construction
on the three houses commences. In Danang, the Fatherland Front
has agreed to supplement the savings of each participating
family with a VND2 million grant.
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Construction and saving continue until all group families
are housed. A cycle normally takes about two years. Groups
elect their own leaders – often women – to manage
and monitor members’ savings, decide which families
are housed in which order, and provide “sweat equity”
– volunteer labor – for construction.
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Volunteers at a Habitat construction
site, Danang, Vietnam |
Laying bricks for a Habitat house,
Danang, Vietnam |
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After the group has built all their houses they continue to
save and pay off their outstanding no-profit, no-interest
loans to Habitat. The repaid money becomes part of a revolving
fund to assist further “Save & Build” groups.
Habitat for Humanity International is contributing US$100,000
to each project in the form of grants.
“This agreement with Danang people’s committee
and the Fatherland Front is the first of its kind in Asia-Pacific
for us,” said Steven Weir, regional vice president for
Habitat for Humanity International. “Habitat works with
individuals and groups of all backgrounds who share our
view that everyone in the world should enjoy the dignity of
a safe, secure affordable place they can call home.
“We look forward to seeing the two projects changing
the lives of thousands of individuals in Danang, and we hope
elsewhere in Vietnam.”
Habitat for Humanity Vietnam began operating in Vietnam in
January 2001 through its partnership with World Concern. Habitat
is currently registering in its own name with the central
government in Hanoi.
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