41 Pages Posted: 31 Jan 2006
Date Written: January 2002
This paper argues that making affordable home mortgage loans available to a large cross section of the population will serve both the redistributive and growth-enhancing objectives of poverty reduction policies. The current state of housing and mortgage markets in selected Middle East and North Africa (MENA) countries (Algeria, Egypt, Jordan, Morocco, and Tunisia) is examined. The study evaluates Turkey and Mexico as middle-income comparator countries. Historical experience of the United States is also described. Simulations based on U.S. parameters provide some guide to the effects on economic growth of alleviating housing shortages by improving access to mortgage financing.
Keywords: housing supply, mortgage finance availability, growth, poverty
JEL Classification: R31, R5, R52
Suggested Citation: Suggested Citation
Erbas, S. Nuri and Nothaft, Frank, The Role of Affordable Mortgages in Improving Living Standards and Stimulating Growth: A Survey of Selected MENA Countries (January 2002). IMF Working Paper, Vol. , pp. 1-41, 2002. Available at SSRN: https://ssrn.com/abstract=879351