In an open letter dated Monday, April 14, 2025, the Union congratulated the newly appointed Minister on his role but wasted no time in registering its deep concerns about how the scheme has been managed since its rollout on January 31, 2023.
Describing the current implementation as ineffective and exclusionary, the Union called for a complete suspension of the program followed by a broader stakeholder consultation to review and possibly reintroduce the scheme in a more equitable form.
“We acknowledge the need this policy brings to the table, but we disagree with the current state of its implementation, which has resulted [in] majority of Ghanaians in dire need of the services the scheme provides,” the letter reads.
Among the key concerns raised are:
Exclusion of Informal Sector Tenants: The Union says the scheme is designed in a way that marginalizes tenants in the informal sector who arguably need the assistance the most.
Violation of Rent Law: The provision of two-year rent advance loans contradicts Section 25(5) of the Rent Act, 1963 (Act 220), according to the letter.
Exorbitant Fees: A GHC100 non-refundable application fee was labelled as “extortionist.”
High Interest Rate: The 12% annual interest rate on the rent loan was described as outrageous and unhelpful to low-income renters.
Regional Disparity: Three years after implementation, 10 regions reportedly still have not benefitted from the scheme.
Lack of Transparency: The Union criticized the scheme’s administrators for failing to provide public accountability or disclose the list of beneficiaries, despite receiving GHC 30 million in startup capital.
“This is not just a policy disagreement—it is a call for transparency, inclusion, and fairness,” said Frederick Opoku, Secretary-General of the Union, who signed the letter on behalf of leadership and members.
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