BUENOS AIRES – Argentina’s President Mauricio Macri announced on Saturday the continuation of the Procreate Plan, a social housing program enacted by the previous government and expanded last year, and which will now be endowed with a budget of $3 billion (50 billion pesos).
The plan was originally conceived to help the “millions of Argentines who don’t own their own home because Argentina’s multiple phases of economic instability over the years have hindered their access to credit,” Macri said in announcing the expansion of the project in the town of San Miguel in Buenos Aires province.
Last year, the government invested $318 million in the plan, launched in 2012 by the administration of then-President Cristina Fernandez, and added a correction to the system of awarding loans in a way that would create home-ownership solutions for some 25,000 families.
As Macri said Saturday, while Fernandez was in power (2007-2015), the plan worked but with “imperfections” in who got the loans and for what, so it “ended up financing houses in gated communities” and not helping those who really needed it.
“Our concern here has to be for those Argentines who earn less than four minimum wages, who historically have never been able to get this help,” he said.
The president noted that of those $3 billion, almost $2 billion will be provided by the state-run Banco de la Nacion Argentina, which will allow the amount of housing loans to be “doubled.”
As established in the plan, every $63,700 loaned must be paid off at a rate of $150 a month for 30 years.
“This is clearly a revolution in mortgage credits and is all about people now doing things that for a long time they couldn’t do, so we’re talking about real happiness in the medium and long term,” Macri said, and described the plan as “marvelous” and “historic.”