FG Inaugurates Housing Reforms Task Teams, Urges Commitment to Renewed Hope Agenda for Housing and Urban Development The Federal Government of Nigeria, through the Ministry of Housing and Urban Development, has Tuesday 16th January 2023 inaugurated four (4) Reform Task Teams to ensure the successful implementation of the Renewed Hope Agenda for Housing and Urban Development. The Task Teams are the Housing Institutions Reform Task Team, Multi-Agency Project Delivery Task Team, Land Reforms Task Team, and the Building Materials Manufacturing Hubs Task Team. In his remarks, Minister of Housing and Urban Development, Arc. Ahmed Musa Dangiwa noted that the Task Teams represent an important step towards delivering on the mandate of the Ministry in line with the Renewed Hope Agenda of the President. He decried the failure of successive governments to implement plans and recommendations put forward by committees in the past, noting that the difference with the present inauguration is the political will of His Excellency, President Bola Ahmed Tinubu, GCFR, his commitment as Minister, and the reputation of the chairmen and members of the Task Teams. "What unites us is the desire for Nigeria to have a vibrant, functional, and efficient housing industry that not only meets the shelter needs of Nigerians but also to unlock the massive potential of the sector for catalyzing inclusive economic growth. Over the 60 years of Nigeria’s independence, we have witnessed successive governments roll out a series of housing development plans and policies. Despite these many plans, our country has sadly failed to meet the housing needs of Nigerians as we still grapple with a huge housing deficit.  "Housing sector contribution to the Gross Domestic Product (GDP) hasn’t moved in any significant way over the past several decades, housing development institutions are still only functioning at sub-optimal capacities, and the enabling housing laws are obsolete", he said. Arc. Dangiwa noted that the President has demonstrated that housing is a part of his priorities towards actualizing his vision of creating a $1 Trillion economy by demerging the Ministry from the Ministry of Works and appointing built professionals to lead it, adding that the Task Teams are a major foundational step necessary to implementing the historic reforms for actualizing the Presidential vision. "The Task Teams have been carefully constituted to include all relevant stakeholders, such as agencies of government, professional and regulatory bodies, the academia, industry experts, traditional rulers, and other groups. The goal is to tap from the wealth of knowledge and experience of these relevant sectors and individuals and come up with strategies that are inclusive, wholesome, and can stand the test of time. While he acknowledged the skepticism that often accompanies such Teams due to past failures and public mistrust, he assured that the chairmen and members of the Teams are individuals of character who have exhibited professionalism, result-oriented leadership, and distinguished service in their various fields. "I am confident that they will deliver, and the deliverables will form the foundation for a strong and vibrant housing and urban development sector", he said. The Housing Institutions Reform Task Team is expected to develop a robust framework for ensuring that housing agencies under the supervision of the Ministry are optimized to deliver effectively on the Renewed Hope Vision for the provision of quality, decent, and affordable homes to Nigerians. This includes a thorough review and facilitation of necessary legislative amendments of relevant housing industry laws including the National Housing Fund (NHF) Act,1992, Federal Mortgage Bank of Nigeria (FMBN) Establishment Act, 1993, Federal Housing Authority (FHA) Act,1973, and PenCom Act to allow for increased investment in housing.  The Team will also map out strategies for driving the nationwide adoption and passage of the model mortgage foreclosure law in States. On their part, members of the Multi-Agency Project Delivery Task Team are saddled with the responsibility to ensure that all housing agencies under the supervision of the Ministry of Housing and Urban Development work collaboratively towards optimizing their strengths to deliver decent and affordable housing to Nigerians, by removing the bottlenecks that hinder effective collaboration between the Ministry and housing agencies.  The Minister said part of its Terms of Reference includes developing a comprehensive strategy and roadmap for the construction of 50,000 new houses per year.  The Land Reforms Task Team, on the other hand, is tasked with developing a blueprint that will aid the sustainable implementation of much-needed reforms necessary for streamlining land administration and ensuring easy, cost-effective, and efficient access to land in Nigeria, drawing from the extensive work of the Presidential Technical Committee on Land Reforms (PTCLR) which has been working for the past 14 years towards comprehensive reforms including the establishment of a National Land Commission. The fourth is the Building Materials Manufacturing Hubs Task Team which is expected to conduct a thorough assessment of the current state of the building materials manufacturing sector in Nigeria, including existing facilities, capacities, and key players, as well as identify challenges and opportunities within the sector.  The result will be a blueprint that will ensure sustainable implementation of reforms for the sector and the establishment of building materials manufacturing hubs in each of the six (6) geo-political zones across the country. Delivering the vote of thanks, the Minister of State, Abdullahi Tijjani Gwarzo urged the Task Teams to take the job as a call to national service to ensure that Nigerians benefit from the initiatives. The leaders of the Teams were handed the Terms of Reference for each team and urged to work within the stipulated timelines for the speedy actualization of the deliverables. ...

Ministry of Housing Signs MOU with Consortium on Delivery of 100,000 Housing Units   In its continued effort to leverage private sector collaboration towards bridging the housing deficit, the Ministry of Housing and Urban Development has signed a Memorandum of Understanding with a consortium to deliver 100,000 affordable housing units across the nation. The MOU, signed Thursday 21 December 2023 at the Ministry’s headquarters in Abuja, marks a milestone for the Ministry’s Action Plan in view of its Renewed Hope Cities and Estates Projects.   The agreement with the Consortium of private sector-led companies, headed by Continental Civil and General Construction Company Limited and Ceezali Limited, represent the heralding of renewed attention to Public Private Partnership arrangements, which the ministry has made a major part of its housing delivery strategy. The units are to be delivered in two phases, starting with 20,000 units in the Federal Capital Territory followed by 80,000 units across the six (6) geopolitical zones.   In his remarks, Minister of Housing and Urban Development, Arc. Ahmed Musa Dangiwa noted that the MOU was the result of months of hardwork and strategic planning resulting in a robust framework to ensure the PPP arrangement was structured to succeed. Speaking on the modalities of the MOU, Arc. Dangiwa said, “under the terms of this partnership, the consortium will be the ones to provide construction finance and build the housing units to completion based on agreed housing designs and prices.   “The Federal Ministry of Housing and Urban Development, on its side, will facilitate provision of affordable mortgage loans to off-takers through the Federal Mortgage Bank of Nigeria (FMBN), as well as facilitate the approval and grant of all legal titles in select lands for the projects as part of its efforts to create an enabling environment for private sector investment in the housing sector”, he noted.   Acknowledging the severe housing crisis in Nigeria and the inadequacy of budgetary allocations to address the deficit, Dangiwa emphasised the need to see increased access to decent and affordable housing as a collective endeavour, requiring the active participation of all stakeholders across the entire housing value chain. “These partnerships enable leveraging the strengths of both the public and private sectors, fostering innovation, efficiency, and increased access to funding. Our long-term goal is to address the housing shortage and enhance the quality of life of our citizens”, he added.   The Minister further touched on the job creation component of the project, noting that it is in line with the vision of President Bola Tinubu to raise 100 million Nigerians out of poverty. Notably, the PPP arrangement will create 2.5 million direct and indirect jobs at 25 jobs per housing unit.   He asked the consortium to continuously engage the technical staff of the ministry in the siting, design, monitoring, and cost evaluation of the project, while urging them to ensure the delivery of the project within agreed timelines.   Consultant for the consortium and Principal Partner of C23 Consultants Limited, Damola Akindolire, noted that the PPP arrangement is first of its kind in Nigeria, in respect of the scale and scope of the project. He added that the MOU speaks to the focus and seriousness of the leadership of the ministry to address the housing deficit in Nigeria.   On their part, Executive Director of Continental Civil and General Construction Company Limited, Alamu Adegbenga and Contract Manager of Ceezali Limited, Sule Wada, assured the Minister of their technical and financial capacities to deliver on the project based on their track record and experience.   Highlight of the event was the signing of the MOU by the Minister and representatives of the consortium. ...

Dangiwa Charges Mortgage Bankers on Innovation, Says Nigeria's Housing Crisis Requires Creative Solutions   …Sues for affordable mortgage products to match current economic realities   Minister of Housing and Urban Development, Arc. Ahmed Musa Dangiwa has called on heads of mortgage banks to be creative in developing mortgage products for Nigerians. The Minister said Nigeria's current economic challenges call for innovative solutions that will make housing finance more easily accessible to Nigerians, and at affordable rates.   Speaking during the 20th edition of the Mortgage Banking CEOs Annual Retreat at the Transcorp Hilton Hotel in Abuja on Saturday 2nd December 2023, Arc. Dangiwa said CEOs of mortgage banks must find new ways to navigate the harsh macroeconomic environment and ensure that ordinary Nigerians- especially those in the low-and-medium-income bracket- can access the finance they need for homeownership.   "While the government works to fix this macro-economic challenge, I still believe that as CEOs of mortgage banks, you can find creative ways to develop innovative mortgage products that are responsive to Nigeria's current economic situation. This includes adopting rent to own mortgage options, flexible monthly mortgage loan repayments to make commercial loans more affordable.   "I note with concern that the Capital Market has not been maximally tapped to raise long term funds to refinance mortgage loans and to explore more creative ways to make mortgages more affordable even as we work to fix the larger macro-economic problems. As leaders, we must not only see provision of housing and home loans from a business and profit perspective, but also see expanding access to affordable mortgages as a moral imperative. So, we must do all we can even in these difficult times to ensure that not only the elites, but Nigerians within the low- and medium-income segments have access to affordable mortgages," he said.   While he acknowledged the presence of legacy challenges and barriers that hamper development in the sector, he charged the mortgage bankers to see themselves as leaders with a moral imperative to make housing more affordable and easily accessible to Nigerians.   The Minister noted that the theme for this year's retreat, "Advancing Sustainable and Affordable Housing in Nigeria: Navigating Macro-Economic, Legislative, and Policy Frontiers”, clearly captures the need of the hour. "The theme emphasizes the need for all players to find ways to navigate the macro, legal and policy bottlenecks. This speaks to the need for innovation. It speaks to the need for creativity. And it speaks to the need for effective leadership at every point in the value chain. This is because leaders are supposed to make progress despite challenges. Leaders are supposed to navigate the complexities of situations to make progress," he added.   Aware of the cost of funding and its impact on lending rate, which is a reflection of the broader economic reality, the Minister expressed confidence at the ability and willingness of President Bola Ahmed Tinubu to drive economic growth and create a more friendly environment for mortgage banking to thrive in Nigeria. He assured them that the jinx of macro-economic, legislative and policy issues that have held down the growth of effective housing delivery in the country will be broken under the leadership of President Bola Tinubu.   Speaking earlier, President of the Mortgage Banking Association of Nigeria (MBAN), Ebilate Mac-Yoroki noted that the retreat provided a platform for deliberation in order to harness policies and partnerships to create products that would enhance the extension of access to affordable housing finance to a larger segment of the Nigerian populace.   Also speaking at the event were Managing Director and Chief Executive of Nigeria Mortgage Refinance Company (NMRC), Kehinde Ogundimu, who observed that despite efforts by mortgage bankers in the past years, the industry has performed below expectation. "We must find ways to make affordable housing delivery work, starting with lowering the cost of lending. There's no where in the world that mortgage thrives with double-digit interest rates," he said.   Other attendees include Managing Director and Chief Executive of the Federal Mortgage Bank of Nigeria, Madu Hamman, the leadership of Family Homes Fund Limited, the leadership of the Real Estate Developers Association of Nigeria (REDAN), heads of mortgage banks and institutions, and representayives of regulatory bodies. ...