Abuja – January 19, 2023 – From our Stand (101) .
Over the years, the Nigerian housing industry has been plagued by myriad of issues, slowing down its development.
Over 28 million housing shortages have been reported in Nigeria, which has been debated by the current Minister of Housing and Urban Development, Arc. Ahmed Dangiwa.
In August 2023, the former FMBN CEO Dangiwa was appointed as the new head of the Ministry of Housing and Urban Development, sparking optimism within the sector.
In order to enhance housing delivery in Nigeria, the new minister pledged to implement five key reforms aimed at creating jobs and wealth and delivering affordable houses to the Nigerian populace amid its housing deficit.
Experts argue that Dangiwa’s 2024 housing goal is highly ambitious, given its budget of N99,982,577,351 billion, which is divided between N96,996,742, 132 billion for capital projects, N682,686,111 for administrative costs, and N2, 303,149,108 for staff costs.
Encouraging foreign investments through Land reforms
One of the many obstacles to the housing sector’s potential for investment, both domestically and abroad, is the problem of land administration, which has been entangled in fraud and racketeeringcoupled with the cumbersome procedures of application, titling, and acquisition.
Festus Adebayo, a prominent housing advocate, says, the minister cannot fulfill his housing mandate unless he implements reforms to make land available to real estate developers.
Among other issues, he stated that one of Dangiwa’s top goals is working with state governors, who are authorised by the constitution to provide Certificates of Occupancy (CofOs), which facilitate land access and incentivize developers who invest in social housing.
Similar remarks were made by Dr. Aliyu Wammako, President of the Real Estate Developers Association of Nigeria (REDAN), who stated that unrestricted access to land and a quick, effective system for land administration would enable the sector to reach its full potential and provide the solution to Nigeria’s housing deficit problem.
“Dangiwa has a bold vision for the sector and is committed to backing it up with the necessary political will to break down all barriers that discourage investment in the sector,” stated Mr. Mark Chieshe, the minister’s media adviser.
According to him, the minister intends to push through policies that would facilitate easier, safer, and more lucrative private sector housing investments.
He said that since 20 million Nigerians in diaspora send $24 billion to their families each year, the land reform primarily targets the diaspora and that a strong reform will draw some of the remittances to the industry.”Land reforms are a noteworthy component of our housing sector changes that are especially appealing to those in the diaspora interested in real estate and home investment.
At the 6th Nigeria Diaspora Investment Summit in Abuja in September, Dangiwa was quoted by Chieshe as saying, “What we envision is a streamlined land administration that cuts through the bureaucratic bottlenecks and systemic inefficiencies to ensure cost-effective and efficient access to land for both individuals and investors in our country.”
Collaboration for affordable housing
Chieshe claims that among other things, social housing is Dangiwa’s top concern. For this reason, he has collaborated with the business sector to provide social housing to low- and middle-class citizens all around the nation.
Declaring that this will further close the housing gap, the minister signed an MOU in December between the government and a group of developers to build 100,000 affordable housing units around the country.
Renewed Hope Agenda estates, cities
In December 2023, while defending the 2024 ministry budget before the National Assembly, the minister reaffirmed his dedication to constructing houses for Nigerians and developing livable cities.
In order to address the housing shortage plaguing Nigeria, he claimed to have proposed the building of 20,000 housing units under the Renewed Hope Agenda Housing Scheme.
Dangiwa went on to say that the completion of the ongoing federal secretariat construction in 11 federation states that are in various phases of development, as well as the completion of the National Housing projects in 35 states, will be given utmost priority.
Revitalizing cities and improving impoverished areas
Architect Dangiwa is determined to pursue an aggressive urban renewal programme throughout the 36 states of the federation and the Federal Capital Territory (FCT), with another component focusing on upscaling slums to decent settlements. Dangiwa has expressed concern about the deteriorating state of most Nigerian towns and cities.
Experts predict that, the minister’s nonverbal cues convey his resolve to create sustainable communities that uphold the Sustainable Development Goals (SDGs) by ensuring hygienic conditions and a safe atmosphere.
Precise data for strategic planning
Shortly after taking office, the minister met with Hon. Nasir Isa Kwarra, the Chairman of the National Population Commission, to discuss one of “Nigeria’s most pressing data challenges: Accurately determining the extent of the housing deficit in Nigeria.” The minister had noted that there was a dearth of reliable data regarding the housing deficit in the country.
He has said in several forums that the current 28 million deficit figure is unacceptable since it cannot be verified. However, our country has been battling contradictory and unverified statistics about this catastrophe for years. In addition to being embarrassing, the variety of estimates—which range from 17 million to 28 million—has made it difficult to make effective policies and develop strategic plans.
But he went on, “I think it’s time to shift this narrative and implement concerted measures to provide our knowledge of the housing crisis and the condition of housing in Nigeria more clarity and credibility. This is due to the fact that data-driven policies and initiatives are both more responsible to the people they serve and more successful.
Experts in the sector have also restated that Dangiwa has reaffirmed his commitment to driving this focus on establishing accurate, credible, verifiable, and scientifically sound data on the housing deficit and the living conditions of the homes that Nigerians live in nationwide, in 2024 at all consultative and interactive meetings with stakeholders in the sector.
It is yet unclear how these stipuated reforms would improve the supply of housing and strengthen the Nigerian economy in 2024.
