While there is a significant over-supply of upscale or luxury housing in many markets across the MENA region, there remains a lack of more affordable housing. This is one of the underlying causes of the social unrest and the resulting political turmoil that spread across the MENA region during the Arab Spring of 2011. Meeting the increasing need for affordable housing is a major challenge facing regional governments.

There is no single definition of ‘affordable housing’ within the MENA region, with the nature and composition of this sector varies significantly between markets. A recent RICS report on the UK market provides a generic definition that applies equally to the MENA region. ‘Affordable housing is provided to those whose needs are not met by the open market’ (Ref RICS Practice Standards Guidance Notes (GN59) 2010).