NHT under auditor general’s microscope
Published:Thursday | July 10, 2025 | 12:12 AM
Ten years after the Auditor General’s Department conducted a performance audit to determine the level of due diligence undertaken by the National Housing Trust (NHT) prior to decisions on investments and land acquisitions for housing solutions, the department is revisiting the issue to provide a progress update on recommendations from the prior audit.
In its performance audit a decade ago, Auditor General Pamela Monroe Ellis made recommendations geared towards improvements in strategic investment planning and risk management, transparency and accountability, and effective governance and oversight.
The new audit will assess the economy, efficiency, and effectiveness of NHT’s housing programmes by determining whether due diligence was exercised in land acquisitions, as well as developer selection aligned with procurement guidelines and policy standards. It will also evaluate if housing developments were completed on time and within budget with proper monitoring, and whether the programmes effectively met contributors’ needs.
National Strategy 15.5 of Jamaica’s Vision 2030 National Development Plan is to ensure safe, sanitary and affordable shelter for all. The strategy proposed that by the year 2030, every Jamaican will be living in a well-constructed dwelling unit that is safe, sanitary and affordable, and in an inclusive and aesthetically pleasing community. This aligns with Sustainable Development Goal Target 11.1, which aims to ensure access to safe, adequate, and affordable housing for all by 2030.
The National Housing Trust is one of the responsible agencies charged with the delivery of this national strategy. The NHT is charged with increasing and enhancing the stock of available housing in Jamaica for the benefit of its contributors, which involved establishing a land bank to construct housing solutions, including service lots and finished houses.
The 2015 performance audit states that in keeping with its responsibility under Section 6 of the Public Bodies Management and Accountability Act, the board should take the necessary steps to enhance its due diligence process undertaken prior to investments and acquisition of land, in order to maximise return on investment and ensure that all properties acquired are suitable for housing development.
According to the 2015 audit, this due diligence should include an appraisal of all investment opportunities to determine, at a minimum, the cash flow impact and the expected rate of return on the investment.
Further, the decade-old audit stated that the board should also ensure that there is a robust records management system to provide evidence of the due diligence undertaken.