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The minister criticizes the poor performance of FHA and FMBN in the housing sector.

In a recent development,  expressed dissatisfaction with the underperformance of the Federal Housing Authority (FHA) and the Federal Mortgage Bank of Nigeria (FMBN). The minister shared his concerns during the inauguration of four Reform Task Teams in Abuja, aimed at paving the way for the construction of over 50,000 houses annually nationwide.

Dangiwa highlighted his disappointment at the housing finance development agencies, emphasising their suboptimal performance. He specifically mentioned the Federal Housing Authority’s (FHA) mandate to provide housing for all income segments, including low, middle, and high-income groups. Despite government support and reserved land in new districts, their inability to build houses in significant numbers has raised concerns.

Similarly, the Federal Mortgage Bank of Nigeria (FMBN) was criticised for not meeting the mortgage financing needs of Nigerians effectively. Dangiwa stressed the importance of exploring capital markets, but the bank’s performance fell short of expectations. The minister announced comprehensive reforms to address these issues.

The newly inaugurated Reform Task Teams, consisting of highly qualified professionals, aim to unlock the housing sector’s massive potential for inclusive economic growth. The four teams include the Housing Institutions Reform Task Team, the Multi-Agency Project Delivery Team, the Land Reform Task Team, and the Building Materials Manufacturing Hubs Task Team.

Dangiwa urged the teams to deliver recommendations within eight weeks, emphasising a thorough review and legislative amendments to housing industry laws. These laws include the National Housing Fund Act, 1992; the Federal Mortgage Bank of Nigeria Establishment Act, 1993; the Federal Housing Authority Act, 1973; and the PenCom Act to encourage increased investment in housing.

The minister highlighted the government’s commitment to provide resources for the committees to ensure timely delivery. He sees the inauguration of the task teams as a significant step towards realising the renewed hope agenda for the housing sector.

The committees, chaired by experts in the field, will focus on crucial aspects such as housing institution reform, multi-agency collaboration, land reforms, and building materials manufacturing hubs. Members of the Housing Development Advocacy Network praised the minister for involving experts in critical housing decisions.

In response, Chi Akporji, Chairperson of the Board of Directors at Shelter Afrique, commended the expertise and experience of the task teams’ chairmen. Similarly, Nuel Osilama, Chairman of the Real Estate Developer Association of Nigeria, FCT branch, expressed confidence in the selection of experts, emphasising the importance of matching skills with responsibilities.

Timothy Nubi, President of the Ideal Habitat Initiative, urged the minister to consider including an urban regeneration committee, emphasising its significance in the overall reform process. As the four committees commence their work, expectations are high for impactful results that will contribute to a vibrant and efficient housing industry delivering decent and affordable housing to Nigerians.

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