The Australia and New Zealand Banking Group Limited has proposed to fund and facilitate $15.1 billion in investment for the next six years in support of affordable housing projects in Fiji.
In a letter addressed to the Permanent Secretary of Finance, Shiri Gounder, ANZ Country Head Rabih Yazbek said ANZ understands that the Government aims to develop an affordable housing project in the Central and Western Divisions, through private sector participation, and that the International Financial Corporation is the lead transaction advisor for the Project.
He said ANZ has been in discussions with IFC in order to understand the scope of the development and the IFC’s proposed approach and that the Bank has a strong interest in supporting affordable housing project and, to this end, participating as a potential financier to the Project.
Yazbek said ANZ is a top tier, active lender in Project and Structured Finance, with a strong track record in delivering structured financing solutions for infrastructure projects of similar size, complexity, risk profile and nature (PPP) in Australia.
“ANZ also has a firm commitment to supporting better housing outcomes. The delivery of more housing supply is more than just business as usual through the funding of new developments. It is at its core helping better designed housing be delivered in the right locations and at the right price.”
Yazbek said ANZ has continued to challenge itself and think on how to best support the delivery of more housing supply into the market.
The Government has already announced that it will appoint a private entity to design, construct, finance, and maintain the project.
The scope is to include the construction of approximately 3,000 affordable housing units across six sites (Raiwaqa, Nepani, Wainibuku, Davuilevu, Tavakubu and Tavua.
The sites are to be provided by the Government, with handover of the completed affordable housing units to the Government at a pre-determined price, followed by a period of maintenance.
The project is underpinned by the Government providing a full commitment to purchase the properties at a fixed price on completion, and a series of pre-determined cash flows to support maintenance and other costs of the private entity.
