Kenya’s affordable housing initiative, popularly known as the Boma Yangu programme, is increasingly reshaping the lives of small-scale traders by improving access to decent housing while creating new economic opportunities around residential developments.
The programme, a key pillar of the government’s housing agenda, is not only addressing the country’s housing deficit but also supporting thousands of informal sector workers who depend on proximity to markets and stable living conditions to sustain their businesses.
According to the latest insights, traders living in or near Boma Yangu housing projects are experiencing improved daily routines, reduced transport costs and increased business stability. Many have reported that access to organized residential spaces has enabled them to better plan their work, store goods securely and operate in safer environments.
For traders like Rajab Muhammad in Makueni County, this was a daily reality. Starting out selling oranges and mangoes by the roadside, business was unpredictable and often disrupted by rain, harsh sun and constant competition for space. There was no stability, no security, and no clear path for growth.
With access to a modern market space, Rajab now operates from a structured environment where customers can easily find him. His business has grown, not just because of better infrastructure, but because of the sense of community and collaboration that comes from working alongside other traders.
The integration of housing with essential amenities such as water, electricity, road networks and sanitation has also enhanced productivity for traders who previously operated in informal settlements with limited infrastructure. With better access to customers and improved mobility, small businesses are now able to expand their reach and increase earnings.
More than 250,000 affordable housing units are currently under construction across all 47 counties. Alongside these homes, modern markets and trading centres are being developed to provide traders with structured spaces where they can conduct business in safer and more organized environments.
The plan includes the construction of 400 modern markets nationwide, designed to give traders permanent stalls and dignified working conditions. Already, more than 237 Economic Stimulus Programme (ESP) markets and at least 39 additional modern markets are at different stages of development across more than 200 constituencies. These markets are supporting the micro and small enterprises that form the backbone of Kenya’s everyday economy.
In addition, the developments have created direct and indirect employment opportunities. Construction activities have provided jobs for local communities, while completed housing units have attracted new businesses such as retail shops, food vendors, salons and service providers.
“Since I got a space in the market, my life has changed a lot. My business has grown, and I now have dignity and a better working environment. Before, I used to sell outside, moving around with my goods without any certainty, but now I have a secure place. I’m no longer exposed to the sun or rain, and we have services like water and toilets,” Faith, a trader and single mother says.
For Faith, the shift from hawking to a structured market space is not just about income – it is about dignity. It is about having a reliable place to work, access to basic amenities, and the ability to provide for her family with consistency. It is also about community, where traders support each other through challenges and build collective resilience.
Boma Yangu Affordable Housing Programme, championed by President William Ruto, was designed not only to build homes but also to support the everyday economic life of communities. The ambition to construct 250,000 affordable homes every year was always intended to go beyond providing shelter. It is about building complete neighbourhoods where people can live, work and access opportunities within their communities.
Stakeholders say the programme is helping transition many traders from survival-based informal operations into more structured and sustainable enterprises. By offering dignified living conditions alongside economic opportunities, the initiative is fostering a more stable and productive urban workforce.
The government maintains that the long-term goal of the housing programme is not just to provide shelter, but to build inclusive communities where economic activity can thrive. As more housing units are completed across the country, the impact on small businesses and local economies is expected to grow.
The Boma Yangu model is increasingly being viewed as a catalyst for socio-economic transformation, particularly for low- and middle-income earners who form the backbone of Kenya’s informal economy.
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