Housing policy and finance in Egypt: extending the reach of mortgage credit

HG Finance;H Social Sciences (General);HB Economic Theory

El Kafrawy, Abdel Hamid H. ; Gibb, Kenneth

University:University of Glasgow

Department:School of Social and Political Sciences

关键词: Mortgage Credit, low- andmoderate-incomehouseholds, housing co-operative societies;   

Others  :  http://theses.gla.ac.uk/3299/1/2012elkafrawyphd.pdf

来源: University of Glasgow

【 摘 要 】

ThisthesisattemptstoaddresstheneedforaclearstrategyforthesupplysideintheEgyptian mortgage market. The thesis focuses for the first time on the issues in relation to the role of the bank and non-bankfinancialinstitutions in thecreationofaneffectiveandsustainablemortgagemarket thatworksbetterforlow- andmoderate-incomehouseholdsinEgyptaswellastheroleofthese institutions after the mortgage market has reached a certain stage of development. Thekeyresearchobjectivesareasfollows:1)toaddresswhyEgyptianhousingco-operative societies can be seen as important policy agents to expand the mortgage credit beneficiaries base in Egypt; 2)toevaluatethe effectivenessof the Egyptianhousingco-operative societiesascommunity basedorganisationsandpolicyagents;3)toidentifyandanalysethevariouseconomic,socialand politicalfactorsinfluencingthiseffectiveness;4)toassesstheroleofthebankinginstitutions(as contextual stakeholders in the immediate environment of the Egyptian housing co-operative societies)inexpandingaccesstomortgagecreditandsavingsinEgypt;and5)toidentifywhichinstitutions constrain most the development of an effective and sustainable level of mortgage credit for low- and moderate-income households. In order to address these issues and objectives, the researcher reviewed the theoretical and empirical issuesassociatedwiththeassessmentofmortgagecreditintermediationmodelstoidentifytheir reach and the limit of that reach and, implicitly, to examine what needs to be done to close the gap on whatwouldbeamoreaccessiblemortgagemarket.Further,from2008to2010,theresearcher surveyedandinterviewedagroupof banking, co-operativeandgovernmentofficersin Cairo,Egypt. QuestionsregardingtheirattitudestowardshousingpolicyandfinanceinEgyptwereposed, especially in relation to the provision of mortgage credit in Egypt. ThethesisfoundthatEgyptianbankinginstitutions,asagentsincarryingouthousingpoliciesand finance, enabled the housing co-operative societies as stakeholders to form expectations towards the resultsofthenewreformswiththesameframeworkastheyhaddonebefore.Thesurveyand interviewsshowedthathousingco-operativesocietiesweredissatisfiedwiththeexpectedresultsof recentreformsintheEgyptianhousingandmortgagemarkets.Itappearsthatresistancetothe reforms was caused by the fact that housing co-operative societies were not interested. But the thesis found that the unfair distributive results associated with mortgage credit allocation were resented most by housing co-operative societies. Thus,thethesisconcludesthatto extendthereachofmortgagecredit,thereneedstobeawider strategy to reform the housing and mortgage markets in Egypt that includes strengthening the role of communityinstitutionssuchasEgyptianhousingco-operativesocietiesbasedonwelldefinedand structured stakeholder framework.