Porto Alegre - The Minister of Cities, Olívio Dutra, affirmed yesterday (25) that Brazil will have to spend US$ 6.9 billion (R$ 20 billion) annually over the next two decades to eliminate the country's housing shortage. According to Dutra, the housing shortage in Brazil exceeds 6.5 million units.

The Minister was in Porto Alegre to inaugurate another Residential Lease Program (PAR) housing complex. Dutra announced that 478 thousand new housing units will be handed over this year and that the government expects to invest US$ 4.5 billion (R$ 13 billion).

Over 8 thousand people whose family income is less than six minimum wages signed up for the PAR selection process. The monthly lease paid by the future occupants amounts to US$ 85.30 (R$ 245.00), plus an administration fee. At the end of 15 years, the family receives the deed to the residence.

The PAR is a residential lease plan for families that earn between three and six minimum wages and do not own their own homes. The aim is the construction of homes or the purchase of homes that are under construction or in need of refurbishment.

Agência Brasil
Reporter: Shirley Prestes
Translator: David Silberstein
10/26/2004