ABSTRACT
Dr J. S. Materu put forward the concept of housing as an economic activity, one that has a very serious impact on the overall economic development of the country. In Tanzania, as far as the housing sector is concerned, the Tanzania Housing Bank (THB) alone provides financing. In the housing sector there are two parts, firstly construction of a house and secondly acquisition of a house. The World Bank gave money to the government, the government gave money to the THB and the THB distributed it thereon. In Mexico all the commercial banks have to give a certain percentage of their resources to the housing sector. In the Philippines there is a peril-levy which goes to the housing sector. At the beginning of the 1970’s other things began to happen, most importantly the establishment of the Tanzania Housing Bank and the Acquisition of Buildings Act.
