As Nigeria continues to urbanize rapidly, adequate supply of affordable housing will be fundamental to actualizing national development targets and enabling the country to maintain a high rate of growth, with cities contributing an increasing share of new employment and GDP.
The structural shift out of rural areas and toward a higher-productivity manufacturing and service-based economy will drive population growth and new demand for housing in cities Lagos, Owerri, Port-Harcourt, Eket, FCT, Enugu, Benin, Kaduna, Makurdi etc etc.
Urbanization has been used as a tool to accelerate economic growth and poverty reduction in many countries around the world, and affordable housing will be instrumental to helping Nigeria achieve its goals for increasing productivity and inclusive urban growth.
Nigeria has a substantial deficit of quality affordable housing. Almost 70 percent of households in Nigeria are still living in poor conditions. Meanwhile, the majority of new demand for housing will be concentrated in only a few major cities and industrial zones. Together FCT and Lagos, will account for around two-thirds of the new housing demand.
The Family Homes Funds will address the challenges of affordable and equitable housing for all Nigerians through the following measures that will be implemented:-
– Increase and reorient government spending in the housing sector. In particular, focusing on programs that support and target the lowest two income quintiles and high growth cities, where the need for housing is most urgent.
– Program would include initiatives to improve access to housing finance, stimulate supply of affordable rental housing and enable delivery of core housing to support the self-built housing sector.
– Prioritize structural reforms to improve governance of the housing sector and urban land management.
– Support market development by investing in the building blocks of a functioning housing sector, including regulatory reforms to incentivize greater private sector participation, improved real estate information systems, as well as monitoring and evaluation standards.