By Zodidi Dano 
18m ago
Cape Town – The Federal Housing Corporation in Ethiopia’s capital Addis Ababa has announced a 50 percent rental housing reduction for April in response to an economic crisis triggered by the Covid-19 pandemic.
To date, 82 Ethiopians have been infected and at least three have died from the respiratory illness which has wreaked havoc around the world, with more than two million confirmed cases globally, according to real-time data website Worldometer.
In a statement, the Federal Housing Corporation said the rent cut, which was only effective for the month of April, would apply to 18,153 residential, commercial and corporate housing units and would benefit customers affected by Covid-19 “directly or indirectly”.
“This total reduction, the sum of unpaid amounts to the corporation, will cost 120 million birr ($3.7 million),” said the corporation, which last month made 10 million birr available to support the fight against Covid-19.
The Federal Housing Corporation collects rent from a range of hotels, shops, restaurants, grocery stores, cafes and offices.
“The discounts offered by corporate customers affected by the virus will provide some relief,” chief executive officer Reshad Mahal said.
Ethiopia is the first country in the Horn of Africa where rentals have been reduced in response to the coronavirus.
The Landlords and Tenants Association of Kenya (LATAK) recently called for all landlords to apply a three months fee waiver in order to reduce financial stress on tenants and allow them to focus on providing food and care for their families.
LATAK also urged the government to order banks to grant landlords a six month moratorium on loans to help offset their loss of income.
African News Agency/ANA