FG Highlights $6.25bn Annual Need to Solve Housing Crisis

The Federal Government has highlighted the urgent need for an annual investment of $6.25bn to tackle Nigeria’s housing deficit, which currently exceeds 28 million units.

Speaking at the Renewed Hope Housing Public-Private Partnership Summit in Abuja, the Minister of Housing and Urban Development, Ahmed Dangiwa, emphasized that despite numerous housing policies, progress has been hindered by inconsistent implementation, lack of political will, and poor coordination.

Dangiwa stated that under President Bola Ahmed Tinubu’s administration, efforts are being intensified to deliver tangible results. To meet the growing demand, the government aims to construct 500,000 housing units annually over the next decade, requiring over N5tn ($6.25bn) each year.

The minister revealed that more than 70% of Nigeria’s 43 million housing units fail to meet basic standards of habitability, safety, and infrastructure. He noted that only 3.30% of households have access to piped water, 24% to sewage systems, and 51.70% to the national grid.

To address these challenges, the government has launched initiatives such as the Renewed Hope Housing Programme and the National Urban Renewal and Slum Upgrade Programme. Public-private partnerships (PPPs) are central to these efforts, with plans to deliver 100,000 housing units under a PPP framework.

Phase one of the initiative includes the development of seven Renewed Hope Cities in areas with high housing demand, including the Federal Capital Territory, Lagos, Kano, Maiduguri, Enugu, Port Harcourt, and Nasarawa. Construction is already underway, with 6,612 units in progress across the FCT, Lagos, and Kano.

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Additionally, the ministry has partnered with Shelter Afrique Development Bank to deliver 5,000 housing units in its first phase, with plans for nationwide expansion. This collaboration also includes technical advisory services and the development of PPP transaction models for affordable housing.

The Senate Committee on Land, Housing, and Urban Development has reaffirmed its commitment to supporting PPPs as a key strategy for addressing the housing deficit. Senator Aminu Tambuwal, chairman of the committee, stressed the importance of collaborative efforts and assured stakeholders of the Senate’s readiness to enact legislation that promotes transparency and encourages private-sector investment.

Dr. Olayemi Rotsimo-Shodome, the summit’s convener, commended the engagement of policymakers and stakeholders, urging a shift from discussions to actionable outcomes to ensure every agreement translates into homes for Nigerians.