There is definitely something FUNDAMENTALLY wrong with both Nigeria’s Housing Policy and it’s Housing System. For the past three decades or more, the story has been the same, yet stakeholders, practitioners and operators have been celebrating mediocrity, incompetence and inefficiency.
In the past fifteen years, emerging market countries in Africa, Asia and Latin America have successful launched vibrant and sustainable Housing Finance Systems. It is not only sad, but also rather ironic that Nigeria sends both its public and private sector people to these countries, when in fact it (Nigeria) had established a foundation, albeit not deeply rooted, for Affordable Housing policy post independence.
Nigeria has the resources to provide affordable rental houses to low-income workers and urban poor. Federal and state government should convert the government funded housing in cities into affordable rental housing complexes under a PPP model. Forget about MORTGAGES for now. Nigerian’s are poorly paid and the Mortgage Market is under developed.
Severe rent burdens are concentrated among extremely Low-Income Families in every state. Most households that rent pay more than half of their income for housing.
It is therefore as a matter of TOPMOST urgency and priority that federal government should incentivize real estate developers, manufacturers, industries and institutions to develop affordable housing complexes on their private lands. In addition federal,state and local government agencies, non profit organizations and faith based organisations should also be encouraged to develop affordable housing units.
Furthermore, Affordable Housing Finance should be made a Priority Sector Lending by the Central Bank of Nigeria, thus mandating Financial Institutions to provide a specified portion of their lending to AFFORDABLE HOUSING for the very poor.
Federal government should introduce a Housing Performance Score that will give priority in funding to states that are
initiating or expanding their supply of affordable housing and using fiscal, planning, and regulatory tools to promote affordable and low-income housing.
Billions of Naira has been donated towards COVID-19. If a substantial portion of the proceeds is used towards Affordable Housing, it will go a long way in addressing the needs of HOMELESS Nigerians.
On their part, the activities of Advocacy Groups should be dedicated solely to achieving socially just public policy that assures people with the lowest incomes in Nigeria have affordable and decent homes.
Furthermore, Advocacy Groups should support all policy initiatives that advance their mission and goals. They should focus their resources proactively on their core policy objectives, while monitoring the policy environment and responding to emerging issues as needed.
Kunle Faleti – Mr. Housing – Affordable Housing Advocacy
Social Housing Commentator
Affordable Housing Advocate
International Housing Finance Expert
Mortgage Banker
Public Speaker
Emerging Market Housing Analyst
