This case study shows that the sum necessary for investment in squatter housing
is reduced by using old materials and employing self-help and neighbourhood
aid, and that it is spread over a period prolonged by a continuous building process.
Moreover, no expenses for land purchase and development arise. The burden on
the inhabitants is thus reduced so drastically that it can mainly be financed by
small and sporadic remainders of their income. In the case cited (Maniia), the
need for credit was correspondingly low. Loans were taken up by exactly onequarter
of those questioned only. In half these cases the sums involved were less
than $66 and only 17% of the borrowers obtained loans of more than $137. Most
of the lenders were relatives and friends (67%), the remainder being the social
security organisation and trade unions. In no case was collateral required. Half the
debtors had to pay no interest; the remainder paid between 5% and 20% per
u~~~~. In most cases the maturity of the loan was unlimited. In another case, in
Lesotho, 90% of the inhabitants financed their housing from their private resources
and only 10% took up loans. 29 In a squatter settlement in Kuala Lumpur, Malaysia,
private resources were the financial source in over 70% of all cases.3o