By Mimidoo Patrick
Alhaji Aliyu Wamako is Deputy National President 1 of the Real Estate Developers Association of Nigeria (REDAN) and the Chairman Chief Executive Officer of Jedo Investment Company Limited. He speaks on the new REDAN that is creating enlightenment to address housing deficit in Nigeria; and the forthcoming conference to educate members on money laundering. He laments that the premier mortgage bank in Nigeria is losing track and wants this corrected.
Viewpoint: Can you tell us about the much-talked-about new REDAN?
Wamako: The management of REDAN with other stakeholders came together with a resolve to sanitize the real estate industry. This is because the real estate sector is a very important sector of the economy that requires the attention of both government and the private sector. We believe that for anybody to be in the sector, he or she must have a proven integrity which is what the new REDAN is all about.
Viewpoint: What changes does this stand to make?
Wamako: This is to ensure that the industry regains its lost glory by way of ensuring that no Nigerian is duped by those parading themselves as developers in the sector.
The new REDAN will also address quackery in the industry. The new REDAN is partnering with the Federal Ministry of Housing, EFCC and others to train members across the country in key areas like the anti-money laundering Act, terrorism, taxation and land acquisition; project management and feasibility study to equip them to understand the issues.
Viewpoint: How soon is the training coming up?
Wamako: The training will commence 14th October and it will be done in three places — Abuja, Enugu and Lagos.
This training is very important because it will be one of the criteria for the membership.
Viewpoint: What are the criteria for the new membership of REDAN?
Wamako: First and foremost, undergoing the training will be one of the criteria. We are also going to be issuing identification numbers to REDAN members for easy identification. This will address the increasing cases of money laundering, terror and taxation.
Viewpoint: How can government bridge the gap in housing?
Wamako: Already, we have over 22 million housing units deficit in Nigeria and for the government to tackle the deficit, there must be an intervention fund just like what we have in agriculture, health and entertainment sectors.
Government can provide this intervention fund in three phases. We are happy with the coming of Family Homes Fund but government must also recapitalise the Federal Mortgage Bank of Nigeria so that they will create more mortgages.
Government should also reduce the lending rate at CBN and the commercial banks to a single digit rate so that it would be easy for developers to access funding. With 23-28 interest rates, it would be difficult for developers to provide affordable houses to Nigerians.
Government should also reduce the time for the repayment of the loan so that developers can recover their money from the investment.
Viewpoint: What is your advice to the Minister of Works and Housing, Babtunde Fashola?
Wamako: My advice to the Minister of Housing is that he should push a review of the obsolete Land Use Act. This law is out-dated and out of use. There should be a forum where all stakeholders in the building industry will come together to brainstorm and review the laws.
Viewpoint: What is your advice to the government?
Wamako: The federal government needs to call FMBN to order to prevent them from further deviating from their mandate because they are already deviating. They have no right to award contracts, or to build houses. Their duty is to provide mortgage for citizens as well as provide facilities for renovation and to also provide loan at single digit to the developers so that there would be more houses for citizens.
