Fixing Housing Deficit to Cost N60trn’
By James Emejo

12 Aug 2011
Views: 2,171

Font Size: a / A


Ms Ama Pepple , Minister of Housing and Urban Development


Minister of Lands, Housing and Urban Development, Ms Ama Pepple, has said government would require a minimum of N60 trillion to provide 17 million new housing units to address the current deficit in the sector.
She said an estimated 80 per cent of Nigerians live in indecent informal housing structures with no basic amenities and in deplorable conditions.

But in a move to bring succour to the housing sector, the Central Bank of Nigeria (CBN) said it was proposing a 5-cardinal reform agenda including a possible introduction of a National Housing/Mortgage Intervention Fund.

Pepple said Thursday in Abuja at the opening of the Stakeholders' Roundtable on "Expanding Housing and Mortgage Finance in Nigeria", organised by the CBN, that the administration of President Goodluck Jonathan was bent on addressing the challenge through the provision of affordable housing to millions of Nigerians.

He said there would be a sustained intervention in the housing sector over the next four years with a view to increasing the housing stock and cut the deficit in sustainable and decent homes.

The minister said key initiatives such as the reviews of the National Housing Policy, National Building Code as well as the targeting of low income earners in delivery of affordable houses-are all aimed at easing the present conditions in the sector.

Deputy Governor, Financial System Stability (FSS) of CBN, Mr. Kingsley Moghalu, who put the current housing demand at 14 million housing units resulting to a N49 trillion funding deficit, said there is a proposal to develop appropriate legal framework and accelerated develop and production of affordable houses.

He said the CBN was also working for the establishment of a Mortgage Refinance/Liquidity Company (MRC) as well as the development of institutional framework.

The CBN Deputy Governor stated that the proposed reform agenda would seek to strategically reposition and strengthen the primary mortgage banks as vehicles for housing delivery and ownership in the country.

According to him, the initiative would also promote a robust mortgage finance system through market support initiatives to unlock home equity in both urban and rural areas to finance Micro-Small and Medium Enterprises (MSME).

Tags: News, Nigeria