SOCIAL HOUSING IN SERBIA IN THE CONTEXT OF HOUSING REFORM

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SOCIAL HOUSING IN SERBIA IN THE CONTEXT OF HOUSING REFORM 71. Session on UNECE/CHLM Geneva, 20-21 September SERBIA, Ministry of Environment and Spatial Planning, Svetlana Ristic

INITIATIVE/IMPLEMENTED ACTIVITIES 2003, first initiative for the National Housing Policy (Serbian Government) - unsuccessful 2004/2006, in cooperation with UNECE - Country Profile on the Housing Sector S&M 2005/2008, based on Italian donation in cooperation with UN/HABITAT - SIRP 2007 in cooperation with the OSCE/ODIHR Directions for Legalization and Improvement of Informal Roma Settlements 2010, in organization of UN-HABITAT, Government Unit for social inclusion and MESP workshop on Access to Afordable and Social Housing 2010, Preparation for the CEB loan

RESULTS 2006 Country Profile on the Housing Sector, informal housing policy paper and good base for the future NHP; recommendations regarding land administration, fiscal legislation and local property still actual; results have acheived regarding the recommendations 1.5 and 1.6 (social housing) and 2.2 (local capacity for SH) 2005/2006 Local non-profit housing agencies established in 6 Serbian cities 2007/2008 5 city housing strategies created 2005/2008 540 rental housing units built in 7 cities 2009 Social Housing Law adopted (Off. G. no. 72/09) 2010 Regulation on Issuing and Revoking Licenses for NHOs (Off.G. no. 44/10), and Regulation on acquire and lease out land at the lower price than the market price (OG no 13/10, based on P&C Law) - for the land for social housing purpose

Workshop on Access to Afordable and Social Housing Held in org. UN-HABITAT, Government Unit for Social Inclusion and MESP, February/11/2010 Housing experts presented their views and practical experiences in social housing (Canada, UK, Nederland, Italy, Serbian banking and NGO sector) Mrs. Christina von Schweinichen presented Challenges in Housing with possible solution for the Eastern and Central European Countries, about UNECE activities, guidelines and CP. Main R&C of the CP for Serbia was presented. UNECE Guidelines on Social Housing and Guidelines on Housing Finance System, (translated in Serbian) were distributed Center for Liberal Democratic Studies created the Document Element for National Social Housing Strategy, and presented it on the Conference (proposed models: 1.construction of housing units for selling and rent on non profit base, 2. vouchers for rent in private rental sector and vouchers for buying materials for reconstruction of own housing, as a grant for the poorest households, and 3. beneficial loans for buying the house in rural areas) Suggestions and conclusions from the conference will be consider under the creation of the NSHS

ONGOING ACTIVITIES NSHS has been actually completed by the Housing Department, based on the document which created the CLDS, with the issues of: direction from the universal acts regarding housing rights, analysis of housing affordability, proposal for the capacity building activities, role of non profit organization and supervision measures, etc. Three bylaws of the SHL (terms for the use of funds for SH, norms and standards for SH and criteria for selection of beneficiaries) have also been completed by the Housing Department Republic Housing Agency planned to be establish in the next year Application for the CEB loan, with the Project Provision of housing solutions for low and middle income population through financing social housing construction and support to ongoing development of main instruments of the social housing system in Serbia (1700 h.u.+1000 h.u. to the end of project in 10 towns) 4 LHAs licensed based on the SHL (Kragujevac, Cacak, Smederevo, Beograd); it can be expect some new applications (Nis, Kikinda, Kraljevo, Pancevo, Krusevac) Association of the LHAs established Budget for the period 2011-2013 for implementation of NHS

Social housing sector in Serbia - SWOT Social Housing Law STRENGTHS National and local strategic framework, and action programs for social housing Local housing agencies Experience in implementation of non-profit housing project in local level (particularly from the SIRP) WEAKNESSES Low level of founds for social housing and unstable financial sources Weak capacity for social housing in the central level Lack of developed land for construction Lack of adequate legal framework for the municipal property OPPORTUNITIES CRISIS THREATS Increasing awareness that market can t answer to all housing problems Long experience in implementation of housing programs of actors in local level long experience in decentralization of housing responsibilities on local level Still very low level of housing affordability, particularly due to crises influence Long habit of housing without paying the real costs Rise of loan interest rate

Housing affordability in Serbia Market price Households decile consuption and housing market price in 2008 RSD 90000 80000 70000 60000 50000 40000 30000 20000 10000 0 1 2 3 4 5 6 7 8 9 10 Households in deciles Consumption Consumption for housing and utilities Average montly instollement for the market loan

Housing affordability in Serbia Proposal for the CEB loan - buying Household decile consumption and non-profit housing price for buying RSD 90000 80000 70000 60000 50000 40000 30000 20000 10000 0 1 2 3 4 5 6 7 8 9 10 Households in deciles Consumption Consumption for housing and utilities Average montly instollement for the CEB loan

Housing affordability in Serbia Proposal for the CEB loan - rent Household decile consumption in 2008 and non-profit rent RSD 90000 80000 70000 60000 50000 40000 30000 20000 10000 0 1 2 3 4 5 6 7 8 9 10 households in deciles Consumption Consumption for housing and utilities Average rent for the CEB loan

Our experience in housing reforms First will, and after that planning of the different means Strengthening capacity on all level and good cooperation of all relevant actors In lack of capacity, cooperation with relevant international organizations can help a lot Waiting for good wind Patience