From international experience, housing policies should adopt an integrated approach connecting the provision of low-income housing to social programs, and
addressing the new housing needs arising from demographic and social changes. In this process, it is important to clearly define targets and eligibility criteria to enhance policy effectiveness. In light of the existing low-income housing shortage, it seems appropriate to rely more on supply-side incentives in the short-to-medium term, while targeting an increased reliance on demand subsidies in the longer run. From the institutional point of view, low-income housing policies are in general decentralized, and the most successful programs worldwide have relied on good central-local coordination supported by appropriate legislation and incentives at both levels. Institutional arrangements are usually underpinned by measures to ease the access of low-income groups to housing finance, including public mortgages or guarantees, more flexible borrowing terms, and preferential rates. The establishment of a National Housing Agency is an option for consideration. The agency could play a meaningful role in the preparation and execution of a National Housing Plan, in the establishment of a low-income housing finance scheme, and in developing initiatives to foster the construction of low-income housing by the private sector.