…Achieves Significant Progress in Addressing Housing Deficit
By Mercy Adi
The Federal government has made remarkable strides in addressing the nation’s housing deficit, with the Ministry of Housing and Urban Development realizing significant gains in its housing programs and generating N11.8 billion in internally generated revenue (IGR) for 2024.
While defending the ministry’s 2024 budget performance and 2025 budget proposal before the National Assembly, the Minister of Housing and Urban Development, Arc. Ahmed Musa Dangiwa, revealed that the ministry had achieved notable milestones in its housing development agenda.
“We have made significant progress in our housing programs, with 10,112 housing units currently under construction in various locations nationwide,” the Minister stated. “This is in addition to the 3,500 housing units completed under the Renewed Hope Estate program, which has provided affordable housing options for many Nigerians.”
The Minister further disclosed that the ministry had generated N11.8 billion in IGR for 2024, through various sources, including tender fees, land payments, ground rent, and the sale of houses under the National Housing Program.
“We are working on strategies to boost our IGR, including reviewing ground rent to bring them in line with current economic realities,” the Minister explained. “We are also exploring opportunities to increase revenue generation from the sale of houses and other sources.”
The Minister emphasized that the ministry’s housing development agenda was designed to address the nation’s housing deficit and provide affordable housing options for Nigerians.
“Our housing program is a transformative development agenda aimed at addressing housing needs and social inequality by providing a broad range of affordable home ownership options,” the Minister said. “We are committed to delivering on this agenda and making housing more accessible and affordable for all Nigerians.”
The minister also presented a comprehensive 2025 budget proposal. The proposal outlines a total budget of ₦88 billion, with key allocations focused on residential buildings pegged at ₦23.84 billion, office buildings at ₦11.65 billion, water facilities ₦1.08 billion, schools at ₦682 million and rehabilitation and maintenance projects at ₦10.37 billion.
Dangiwa further said, the ministry plans to boost its internal generated Revenue (IGR) by reviewing ground rent to reflect current economic realities,
enhance the sale of houses under the National Housing Program and explore additional revenue streams.
The Minister’s presentation was well-received by the National Assembly, with lawmakers commending the ministry’s efforts in addressing the nation’s housing challenges.
The Chairman of the House Committee on Housing, Hon.Abdulmumin JIbril, emphasized that the committee is well-informed about the gaps in the presentation and the challenges facing the housing sector. “We’ve done our own oversight as well, so we have our facts as regards a lot of projects achieved which are obviously below the center targets,” he stated. The Chairman assured that the committee will take decisive actions to ensure that the right things are done, not only in the ministry but in the entire housing sector. He concluded by saying, “We are going to further scrutinize your documents. If we require your attention, we will call you otherwise, the position of the committee will be communicated in its report, which will be what will be passed by the House.”
Ministry of Housing Budget Implimentation Breakdown (2023-2024)
The Ministry of Housing received a total budget allocation of:
– 2023 Supplementary Budget: ₦100 billion:
– ₦50 billion for Aval Renewal
– ₦50 billion for Renewed Hope Estates
– 2024 Appropriation: ₦162.3 billion (capital) and ₦240 million (overhead)
– Zero personnel cost due to merger with Federal Ministry of Works
Budget Utilization (2023-2024):
– 2023 Supplementary Budget: ₦77.35 billion (77.35% utilization)
– Outstanding balance: ₦22.68 billion
– 2024 Appropriation: ₦36.68 billion released, ₦30.84 billion utilized (84% utilization)
– Unutilized balance: ₦131 billion (81%)
Internal Generated Revenue (IGR) 2024
– Total IGR: ₦11.82 billion
– ₦3.02 billion from tender fees, land payments, and ground rent
– ₦5.8 billion from the sale of houses under the National Housing Program
– ₦3.002 billion from other sources
Housing Development Projects:
– Renewed Hope Estates: 3,500 housing units completed in 12 states
– National Housing Program: 10,112 housing units under construction nationwide
– Planned housing units: 50,000
– Jobs created: 252,000 skilled and unskilled jobs, with 25 jobs per house