Housing Finance Company of Kenya was incorporated as the premier mortgage Finance Institution in Kenya licensed under the Banking Act with the CDC and the GoK owning 60% and 40% respectively. Housing Finance started operations with the main objective of implementing the government’s policy of promoting thrift and home ownership by lending funds advanced from First Permanent East Africa Limited (FPEA). Operations were restricted to the zoned residential areas within Nairobi and Mombasa. Deposits of FPEA in Kenya were transferred to HFCK while the Tanzanian and Ugandan deposits were transferred to The Permanent Housing Finance Company of Tanzania and the Housing Finance Company of  Uganda respectively.