NAIROBI, Kenya, Jan 22 – The value of building approvals in Nairobi grew by Sh50.3 billion to Sh195.1 billion in the 11 months to November last year, despite the high cost of building materials.
Data from the Kenya National Bureau of Statistics (KNBS) shows that this was an improvement from Sh144.9 billion during a similar period in 2022.
While residential projects recorded a growth of Sh51 billion, non-residential projects declined by Sh749.98 million.
The number of approvals was highest in the month of November at Sh18 billion, compared to Sh16.2 billion in October.
“The value of residential buildings approved increased from KSh 13.7 billion in October 2023 to KSh 14.0 billion in November 2023. The value of non-residential buildings approved dropped from KSh 4.4 billion in October 2023 to KSh 2.2 billion in November 2023,” KNBS latest data shows.
Last month, the Architectural Association of Kenya (AAK) Built Environment Report showed that the cost of building materials has increased from between Sh34,650 and 77,500 at the beginning of 2023 to Sh41,600 and 100,800 in December 2023.
The price of steel reinforcement bars, for instance, went up from Sh140.6 per kilogram in December 2022 to Sh160.26 per kilogram in December 2023, representing a 14.29 percent growth.
A 50 kg of cement also rose from Sh650 to Sh750 in the same period.
