FG Decries Road Vandalism, Reaffirms Commitment to Record Completion of Abuja-Kano Expressway The Federal Government has expressed deep concern over the rising cases of vandalism and misuse of newly constructed and ongoing road projects across the country, warning that such irresponsible acts threaten the lifespan and safety of critical national infrastructure. Minister of State for Works, Hon. Bello Muhammad Goronyo, Esq., issued the warning on Saturday, 8th November 2025, during a holistic inspection visit to the Outstanding Sections of the Abuja–Kaduna–Zaria–Kano Expressway project, where he condemned the destructive activities of some hoodlums along the completed and active sections of the road. The Minister, in particular, decried instances of individuals removing safety railings, damaging concrete pavements, or converting portions of the highway into refuse dumps and drying grounds—especially around the Jaji Bridge corridor in Kaduna State. “Maintenance begins with discipline and public responsibility,” Goronyo stated. “We have observed people cutting through newly completed road sections or tampering with vital components. These acts of vandalism must stop immediately,” he warned. In this vein, he urged traditional rulers, community leaders, and residents to take collective ownership of public infrastructure and ensure that such national assets are protected from misuse, adding that the government’s huge investments in road development must be safeguarded for future generations. “The Renewed Hope Administration of His Excellency, Asiwaju Bola Ahmed Tinubu is committing enormous resources to the building of durable roads across the country. Every act of vandalism or road abuse undermines national progress and the deployment of taxpayers’ money to other critical national priorities,” the Minister emphasised. Reaffirming the government’s resolve to complete the Abuja–Kaduna–Zaria–Kano Expressway within record time, Goronyo described the project as a flagship of President Tinubu’s Renewed Hope Agenda, designed to enhance trade, promote unity, and strengthen economic integration between the Northern and Southern regions of the country. He disclosed that the Section I (Abuja-Kaduna) of the project, spanning 144 kilometres, is progressing steadily across several active sections - from Tungan Maje and Jere to Katari, Kakau, Gonigora, and Agogo Junction—with significant work already completed in drainage, reinforcement, and the construction of the shoulders. “So far, about 26 kilometres of continuous rigid concrete pavement and 15 kilometres of binder and wearing course have been completed,” the Minister revealed. “The President has made it clear that funding will not be a constraint. It is now a matter of work and getting paid,” he informed the contractor, Messrs. Infiouest International Limited. In line with the President’s directive for durable infrastructure, the Acting Director, Highways, Bridges and Design at the Ministry, Engr. Musa Sa’idu explained that the project design was upgraded from flexible (asphalt) to rigid (concrete) pavement, capable of lasting for about a century and withstanding the stress of heavy-duty and overloaded vehicles. He further disclosed that a recycling approach is being used to strengthen the substructure, by mixing milled asphalt with stone base and cement to improve durability and minimize environmental impact. Mr. Robert Turner, Senior Project Manager of the company, reaffirmed their commitment to engineering excellence and set a target, adding that work is progressing seven days a week, with plans to introduce night shifts to accelerate completion. Concluding the inspection tour at the additional location of the Kano end of the alignment, the Minister reiterated that the Abuja–Kano Expressway remains one of the most strategic road corridors in the nation, symbolising Mr. President’s unwavering commitment to infrastructural renewal, national security, and economic prosperity. “This project is dear to the President’s heart. It is not just a road - it is a lifeline for trade, social and political integration, as well as national unity. Every Nigerian must play a part in protecting it,” Goronyo declared. Earlier at the end of Section II (Kaduna-Zaria), which has been completed and handed over by the previous contractor, the Briefing the Minister on the Project, the Federal Controller/Engineers’ Representative, Engr. Muhammad I. Matinja and the Project Manager for Messrs. Halis Matrix Limited, Engr. David Omotosho expressed optimism about the progress of work, assuring that it will be completed on time and according to its design. **Mohammed A Ahmed, **
“We are determined to deliver this project ahead of schedule. The government has demonstrated exceptional consistency in funding, and we are matching that commitment with performance,” Turner assured.
Minister detoured to inspect another ongoing construction work on the Unguwar Iliya-Bagudu-Kwantakaran-Tsiga-Bakori Road with Kadabo Bridge in Kafur Local Government Area of Katsina State. He expressed satisfaction with the progress of work, which has an approximate length of 17.3 kilometres, starting from Tsiga Town and passing through the Barde community. The scope of work includes the construction of a single carriageway and three reinforced concrete bridges.
Director Press and Public Relations.
9th November 2025.
Border Bridge Between Nigeria And Cameroon Will Curtail *Insecurity-President Muhammadu Buhari The new Border Bridge linking Nigeria and Cameroon at Mfum/ Ekok across the Cross River and the new Joint Border at Mfum has been officially commissioned on Wednesday the 3rf of November, 2022. The project was jointly funded by the Governments of Nigeria, Cameroon and the African Development Bank Group (AfDB), the project begin in year 2017 and was completed in year 2021. Commissioning the Bridge, the President of the Federal Republic of Nigeria, His Excellency, President Muhammadu Buhari, (GCFR) said that this new Border Bridge between Nigeria and Cameroon would go a long way to curtail insecurity. President Buhari who was represented at the ceremony by the Minister of State for Foreign Affairs, Ambassador Zubairu Dada said: “The Government of the Federal Republic of Nigeria also expects that this Joint Border Bridge and Border Post will enhance security patrol and cooperation in this part of the border with Cameroun and also hope that it will complement the current efforts of the Federal Republic of Nigeria and Cameroun to combat the scourge of terrorism and violent extremism in our region.” Speaking further he said the project is important because the activities of violent extremists have continued to present major challenges to the development of our countries and our regions. “Their activities have continued to deter our economies and the maximization of the potential of our countries as well as cause political upheavals and menace in our regions. Hence it is our hope that the commissioning of this project will accelerate the efforts our gallant security personnel who are already doing very well in securing our territories’, he said. He added that the project which is part of the Nigeria-Cameroun Multinational Highway and Transport Facilitation Programme will remain a visible testimony to the continuing cooperation and good neighborliness between our two countries as well as regional economic communities. “This Bridge and the Joint Border Post are proof that when Africans work with African institutions of standard, critical regional developmental projects can be achieved in record time,” he said. Expressing his joy on the commissioning, he said: “I am glad that both Nigerians and Cameroonians living around these axises have remained jubilant since the completion of this Bridge and Joint Border Post. Such excitement symbolizes the resolve of our peoples and governments to remain connected in spite of our seemingly artificial boundaries. The completion and commissioning of this project could not have come at a more auspicious time when Nigeria has signed and ratified the African Continental Free Zone Area Agreement.” The President said he is optimistic that the commissioning of the Border Bridge and Joint Border Post will not only strengthen the existing cordial relationship between Nigeria and Cameroon but it will also enhance cooperation between ECOWAS and ECCAS countries adding that the project has the potential to enhance the volume of economic activities in the regions especially as it will facilitate the movement of goods and services within the countries along these Corridor. It will also serve as a vital link between the West and Central African Regions. The joint Border Bridge is one of the projects under the Transport Facilitation Programme for the Bamenda-Enugu Corridor otherwise known as the Nigeria/Cameroon Multinational Highway and Transport Facilitation Programme. It was embarked upon by both countries as part of the confidence building measures aimed at improving relations between both countries through the facilitation of movement of people, goods and services between both countries and also as a major economic route connecting the ECOWAS countries and their counterparts in the Economic Community of Central African States (ECCAS) thereby facilitating trade and growth in the region. In his remarks, the President of Cameroon, His Excellency Paul Biya said that the Programme for the transport facilitation of the Bamenda-Enugu road corridor was conceived by the founding fathers as a confidence building measure to strengthen relations between Nigeria and Cameroon following the strained relations arising as a result of the Bakassi Peninsula issue. Speaking at the commissioning ceremony, the President who was represented by the Minister of Public Works of Cameroon, Mr. Emmanuel Nganou Njoumessi explained that 443 kilometers long Bamenda-Enugu corridor comprises the Cameroon Bamenda-Mamfe Ekok road sections, the Nigerian road sections of 240 kilometers, the bridge over the Munaya River in Cameroon and the border bridge of 230 meters over the Cross River. On the importance of the project, he said that it is expected to help increase trade and also strengthen cooperation between countries of the Economic Community of Central African States and those of the Economic Community of West African States in general, and between Cameroon and Nigeria in particular. He said: “The direct beneficiaries of the programme are the transport services users, as well as the 11,000,000 inhabitants (3,000,000) IN Cameroon and 8,000,000 in Nigeria) in the programme area representing 7% of the tota population of both countries.” He added that the programme will reduce overall transport cost and improve the living conditions of the populations living along the road. Delivering his welcome address, the Honourable Minister of Works and Housing, Mr. Babatunde Raji Fashola, SAN, CON commended the vision of the founding fathers and with gratitude ackwonledged the roles played by the funding partners, the Ministry’s engineers/ Directors and also the host communities of Nigeria and Cameroon. He said: “I can say with pride that our job has been done for the benefit of the people of Nigeria and Cameroon which the bridge connects.” Continuing, he said that the most important thig about the project is that the bridge not only connect Nigeria and Cameroon but it begins a journey of a Trans-Africa connection. “The Nigeria/Cameroon Multinational Highway from Enugu in Nigeria to Bamenda in Cameroon is also part of the Dakar-Lagos-Mombasa, Kenya Trans-African Highway and this is the significance of this project,” . In an exclusive interview with His Royal Highness Anthony Ntui Etta II, the host community of Ajassor clan, he highly commended the two countries and said that the Ajassor clan are indeed very happy and grateful for the project. He said, the significance of the project cannot be overemphasized as it will strengthen the bond of affinity which already exist between their community with their kiths and kins of Ekok border community in Cameroon and even beyond. He added that the project would further boost trans-border commercial activities. It was a very colorful commissioning ceremony that was well attended by stakeholders such as the EU, Africa Development Bank Group, ECOWAS. ECCAS, Senator representing Cross River Central, Distinguished, Senator Sandy Onor, the representative of the Governor of Cross River State the Hon. Commissioner of Works .Engr. Dane Osim-Asu, the Minister from Cross River State in the Federal Exceptive Council. Mr. Goddy Jeddy-Agba, Minister of State, Transportation, Nigeria. Prince Ademola Adegoroye, Ministers from Cameroon, Nigerian Ambassador to Cameroon, Ambassador Gabriel Olunisakin, Traditional and Paramount Rulers and Mayor's, Local Government Chairmen, members of the Military and Paramilitary Agencies. The event was spiced with cultural Traditional dancers from both countries. ...
President Buhari Commissions Nigeria/Cameroon Joint Border Post And Bridge, Reiterates Need For Neigbourliness President Muhammadu Buhari Thursday in Mfum, Cross River State, called for more neighborliness and mutual understanding between African states in order to enhance trade, security and promote development of the continent. The President, represented by the Minister of State, Foreign Affairs, Amb. Zubairu Dada, at the commissioning ceremony of the Nigeria/Cameroon Joint Border Post and Bridge, said the 1.5km project would enhance the interconnectivity of “our people and communities, improve living standards, reduce barriers to inter-regional trade and strengthen border security.’’ “It is with great sense of satisfaction that we are witnessing the official Joint Commissioning of the Mfum/Ekok 1.5km Bridge and Joint Border Post (JBP). Let me begin with commending the Leaderships of the Economic Community of West African States (ECOWAS), the Economic Community of Central African States (ECCAS), and the Government of the Republic of Cameroon that worked closely to realize this project, as well as the African Development Bank (ADB) that provided funding for the execution and completion of this 1.5km Joint Border Project,’’ he said. President Buhari noted that the projects will deepen the inextricably linked cultural and traditional fraternal bonds that already exist between Nigerians and Cameroonians living around the border communities. “Let me also underscore that in order to maximize the benefits of these projects, the Nigerian and Cameroonian officials that would be saddled with the responsibility of manning the Joint Border Post, in particular, must act in the most professional manner, as well as in line with the global best practices, effective from today,’’ he added. President Buhari affirmed that the completion of the project had made both Nigerians and Cameroonians living around the area jubilant. “Such excitement symbolizes the resolve of our People and Governments to remain connected in spite of our seemingly artificial boundaries. “The completion and commissioning of this project could not have come at a more auspicious time than when Nigeria has signed and ratified the African Continental Free Trade Area (AfCFTA) Agreement. Therefore, we expect that the commissioning of this Joint Border Bridge and Post will not only strengthen the existing cordial relations between Nigeria and Cameroon, but also enhance cooperation between the ECOWAS and the Economic Community of Central African States (ECCAS). “Under the AfCFTA, this project has the potential to enhance the volume of economic activities in our regions, as well as facilitate the free movement of persons, goods and services within the countries, along the corridor. It would also serve as a vital link between the West and the Central African regions. “The Government of the Federal Republic of Nigeria also expects that this Joint Border Post and Bridge will enhance security patrol and facilitate effective cooperation in this part of our border with the Republic of Cameroon. While expressing our confidence that this project would accomplish the set targets, it is also our hope that it would complement the current efforts of the Governments of Nigeria and Cameroon to combat the scourge of terrorism and violent extremism in our region. “This is important because the activities of violent extremists have continued to present major challenges to the development of our countries and regions,’’ he added. The President said the menace of insecurity had continued to threaten economies, impede the maximization of the strategic potentials of our countries as well as cause political upheavals and menace in our sub-region. “Hence, it is our hope that the commissioning of this project will accelerate the efforts of our gallant security personnel who are already doing very well in securing our territories. “We also pray that this project would enhance the interconnectivity of our people and communities, improve living standards, reduce barriers to inter-regional trade and strengthen border security. We are certain that these projects will deepen the inextricably linked cultural and traditional fraternal bonds that already exist between Nigerians and Cameroonians living around the border communities,’’ the President stated. He noted that the project, which was part of the on-going Nigeria/Cameroon Multinational Highway and Transport Facilitation Programme (NCMH&TFP), will remain a visible testament to the continuing cooperation and good neighbourliness between both countries, as well as Regional Economic Communities. “This bridge, and Joint Border Post, are proofs that when African countries work with African Institutions, outstanding and people-centred cross-regional developmental projects can be achieved in record time,’’ he said. The President thanked all the Institutions and Agencies that made the project possible. “I recall in this regard, that the Government of the Republic of Cameroon cooperated with us in granting joint waiver to the Expatriates that were employed by the construction company that handled the project, despite the global COVID-19 lockdown. The cooperation and support of H.E. President Paul Biya, as well as the Government and people of Cameroon, ensured that this project was completed on schedule. “Let me also extend the gratitude of the Government and people of Nigeria to the African Development Bank for the role it played in financing these projects. Under the leadership of Dr. Akinwumi Adesina, the Bank has become, by all standards, a reliable beacon of support in all matters relating to Africa’s development. Indeed, we are very proud of the performance of the current Management of our continental Bank which has confirmed that we truly have “African solutions to African problems”. “Let me also commend the leadership and staff of the ECOWAS and ECCAS for their untiring efforts in ensuring the timely completion of this project. It is necessary to underscore that visible projects such as these, as well as other critical and life changing infrastructure are the type of projects that the citizens of our sub-region have been yearning to see. It is the hope that under the leadership of Dr. Omar Alieu Touray, ECOWAS will continue to deliver on the expectations of our citizens. “Finally, let me conclude by extending our deepest appreciation to the contractors, CGCOC, that have shown uncommon commitment to the execution and delivery of this high quality project, within a reasonable period. To all of you who have contributed in one way or the other to this epoch–making and memorable occasion, I convey my warm appreciation,’’ President Buhari said. In his remarks, the Minster of Works and Housing, Babatunde Fashola, said the value of the new bridge transcended connection between Nigeria and Cameroon, boosting the larger effort of connecting Africa. He said efforts will be sustained to improve networking among Africans, which ECOWAS and the African Union had been pursuing over many years, with earlier plans dating back to 1969. Fashola said consistency in building roads and bridges will improve relations among Africa countries, where people can drive from Lagos to Mombasa. The Cameroonian Minister of Public Works, Emmanuel Nganou Djoumessi, who represented President Paul Biya, appreciated the contributions of various stakeholders to the project, assuring that the Nigeria/Cameroon relations will explore more possibilities for partnership. ...
More Jobs Coming as FEC Approves Award of Urgent Repairs, General Maintenance Contracts on Some Roads Nationwide ....Roads include Gorgaram – Guri; Buni Gari – Gulani in Yobe State; Water Corporation Drive and Trinity Avenue in Lagos ....The objective is to improve conditions of federal roads, restoring nation’s road network in line with National Development Plan 2021 - 2025, says Fashola ....Substantial number of jobs to be generated through the projects In pursuance of the Federal Government’s commitment to developing the nation’s road network in the six geopolitical zones, the Federal Executive Council (FEC), has approved contracts for urgent repairs and special general maintenance of some roads nationwide worth N48.519 billion. While presenting the Memo, as one of three considered from his Ministry at Wednesday’s Federal Executive Council meeting presided over by Vice-President, Prof. Yemi Osinbajo SAN, the Hon. Minister of Works and Housing, Mr. Babatunde Fashola SAN explained that the aging state of federal roads nationwide has warranted the Federal Roads Maintenance Agency to procure the projects in its Amended 2022 Appropriation. He added that the projects would enhance Federal Government’s objective of restoring the nation’s road network as part of the implementation of the National Development Plan (NDP) 2021 -2025. The roads for which the Minister got approval for the award of contracts for urgent repairs, and special general maintenance included the construction of Gorgaram - Guri Road in Yobe state, in the sum of N40.907 billion, with a completion period of 36 months and the rehabilitation of the 90-kilometre Buni Gari - Gulani road also in Yobe state in the sum of N4.785 billion with a completion period of 36 months. Approval was also received for the reconstruction of Water Corporation Drive and Trinity Avenue in Victoria Island, Lagos State. This was approved in the sum of N2.826 billion with a completion period of 36 months.’ The approvals, which were sequel to the Memoranda submitted to the Council by the Minister of Works and Housing, Mr. Babatunde Fashola SAN, showed that the construction of Gorgaram - Guri Road in Yobe state will be executed by Messrs Mothercat Limited, the Buni Gari - Gulani road will be rehabilitated by Messrs Hikam Engineering and Consultancy Limited, while the reconstruction of Water Corporation Drive and Trinity Avenue will be carried out by Messrs Wizchino Engineering Limited. In terms of creating job opportunities, it was noted that due diligence and post qualification checks were carried out which showed that the companies have the capabilities to execute the contracts with a substantial number of jobs generated for Nigerians. Advancing reasons for seeking the approvals, the Minister explained that “these roads have been reported to be in very bad condition and requiring urgent intervention to enable road users’ access to economic activities along the routes.” ...
Abeokuta Substation Gets New 60MVA Transformer To Improve Electricity
The yearning to ensure qualitative and stable power to Nigerians has made the Federal Government to upgrade the 132/33KVA Abeokuta Transmission Substation with the installation of a new 60 Mega Volt Ampere (MVA) capacity transformer to boost electricity supply in Abeokuta and its environs.
Addressing the Minister of State II Power, Works and Housing, Surveyor Suleiman Hassan Zarma, who was on an inspection tour to the substation recently, the Assistant General Manager Transmission, Papalanto Sub – Region of the Transmission Company of Nigeria (TCN), Engr. Adeonipekun Adesina said the transformer upon its complete installation would complement the three existing ones at the station.
According to him, the station has 3 transformers of 30MVA each, making a total of 90MVA. But with the new one, the station will now have a 150MVA wheeling capacity. “It used to be a 90MVA Substation. But with the introduction of the new transformer, there will be more power to deliver to the masses and there will be steady supply of electricity”, Adeonipekun said.
Adeomipekun disclosed that the transformer when energized, would improve power supply to Abeokuta Township, Imeko, and Lagos Road, part of Sagamu and University of Agriculture, Abeokuta. In his address, the Minister re-affirmed the Federal Government’s commitment to increasing power supply in the country. Saying “the Federal Government is investing in the expansion of transmission capacity through the TCN by building more substations and expanding existing ones”, adding that the transformer which is installed by the Transmission Company of Nigeria (TCN), under the National Integrated Power project (NIPP) of the Federal Government is aimed at driving the industries, boosting the economy, creating employment opportunities to our teaming youth in Abeokuta and the country in general.
Keynote Address Presented At The 32nd Annual Conference And General Meeting Of The African Union For Housing Finance (AUHF)
Theme: Housing and Africa’s Growth Agenda at PDTF Centre, Central Business District, Abuja, 14th -16th September, 2016. By The Honourable Minister of Power, Works & Housing; Babatunde Raji Fashola, SAN.
Protocols
I am delighted to address you on the occasion of this 2016 Annual Conference and General Meeting of the African Union for Housing Finance (AUHF) holding in Abuja, Nigeria. The political will and momentum of the present administration in her housing sector agenda are further invigorated by this conference taking place few months after the June 2016 National Housing Summit. You will recall that the outcome of the recent National Housing Summit identified Housing Finance as one of the major pillars necessary for realizing Affordable housing delivery in Nigeria apart from others like Land, Concessions/incentives, Off-taker Strategy and General Skills Acquisition. It is indeed, heartwarming and reassuring to note that AUHF is an association of Mortgage Banks, Building Societies, Housing Corporations and other organizations involved in mobilizing funds for housing on the African continent. Also that the goals of AUHF includes promoting and facilitating housing finance and unlocking its multiplier effects on National economies, hence leading to Africa’s economic growth. I understand that the Conference attracts stakeholders from across the African Continent, all with the purpose of advancing investment in affordable housing.
2. Let me begin by thanking the Nigerian Mortgage Refinance Company (NMRC) and other partners for hosting this important conference. The hosting of AUHF 2016 conference in Nigeria could not have come at a more auspicious time than now that Nigeria needs aggressive unleashing of new housing finance investments and opportunities. I will also like to thank all the stakeholders and experts from Africa and around the world for coming together to proffer solutions to the age long challenge of providing housing finance for Africans, especially Nigerians that are facing harsh economic challenges.
3. Housing, we know is critical to every human development and fundamental right of every citizen. Therefore, Housing is central to this Administration’s policy thrust. However, housing a population of over 180 million is an arduous task that cannot be left for Federal Government alone, especially now that the Government’s revenue and the economy is under pressure. The fund to support the construction and mortgages for the end-users is a big challenge for the government. The production cost versus the selling price of the present housing stock is beyond the reach of majority of Nigerians. Demand for affordable housing has grown over the years as a result of population explosion, rural-urban drift and search for higher quality of life. This demand has rapidly overwhelmed the supply capacity of existing Government resources. Many years of inadequate investment and poor maintenance culture have left Nigeria with a significant housing deficit which is slowing down the country’s development and economic growth and will clearly require close collaboration from stakeholders like the AUHF. The above demanding task is the mandate of my Ministry, Federal Ministry of Power, Works and Housing. Therefore, all stakeholders especially the Private sector and AUHF must play major role in this process of creating innovative housing finance in Nigeria.
4. Every Nigerian’s dream is to have a roof over their head! Hence, for an average Nigerian "owning a house" is a mark of economic success and security. Housing is also believed to be a long term investment that protects that investment against high inflation and the unpredictable economic down turn. Therefore, provision of housing is a major tool to reduce corruption. Why is it so difficult for the average Nigerian to realize this dream? Lack of Housing Finance in the public and corporate institutions and double digit housing loans are the major culprits while others include land for housing, population explosion, high cost of building materials, inflation that brings about unemployment and decreased purchasing power of the low and medium income earners.
5. The major housing Finance trends and developments in the Nigerian market can be summarized by tracing the historical tendency of the influence of the financial sector in the housing industry. In 1956, a Secondary Mortgage Institution called Nigerian Building Society (NBS) assumed the role of the main conduit for housing finance delivery. NBS was a British and Nigeria partnership arrangement. Nigeria’s housing finance development can be classified under major political periods, namely pre-independence (1914-1960), post-independence (1960-1979) and a second and subsequent civilian administrations (1979 to date). However, the mortgage institutions decree No. 53 of 1989 led to the establishment of the following; Primary Mortgage Institutions (PMI) as mortgage savings for on-lending property development and mortgage creation. And, the Secondary mortgage institution, the Federal Mortgage Bank of Nigeria (FMBN), to function as the Apex mortgage institution for regulation. While the National Housing Policy of 1991 was a bold step by the Federal Government of Nigeria to address the challenge of lack of finance for housing development and mortgage. The National Housing Fund (Act. No. 3) of 1992 is a collating reservoir of long term funds in terms of monthly contributions from workers in the public and private sectors. Unfortunately, most Nigerians see mortgage loans from Government as part of their share of the "national cake" leading to high default rates. This has forced the Government to encourage prospective home owners to approach commercial banks who regrettably have high interest rates. Thus, the Government who is supposed to be a major player in the provision of homes is now seemingly not on the frontline. The Government established the Nigerian Mortgage Refinancing Company (NMRC) to help in reducing the cost of mortgage loan by improving market efficiency.
6. From the inception of Government initiative in organized housing finance system to date, only a meager sum have so far been injected to the system. This accounts for less than 0.5% of the Gross Domestic Product (GDP) as compared to other climes (like United Kingdom, South Africa etc) due to the inability of financial systems in providing low cost finance that meets the need of low and medium income earners. Therefore, the Secondary Mortgage institution (FMBN) should be strengthened by ensuring full compliance with the National Housing Funds (NHF) Act by affected stakeholders, like the Central Bank, commercial banks, insurance companies, Mutual and Trust Fund administrators. However, I am happy to note that with the greater participation of the private sector in housing and embracing the new initiatives of this Administration, the journey to sustainable housing delivery is on course.
7. Ladies and Gentlemen, it may interest you to note that the current Administration has taken cognizance of the housing sector as an important area requiring priority attention for reinvigoration and revitalization. This accounts for the appreciable budgetary allocation to the sector in the current annual estimate. This vision is increasingly being energized by the Federal Ministry of Power, Works and Housing. Only recently, the Ministry organized a National Housing Summit, where stakeholders met and examined the numerous constraints militating against the provision of affordable housing in Nigeria and proffered a clear, sustainable and strategic blueprint to mitigate same. Identified as a critical factor in the provision of affordable housing was lack of access to construction finance by developers including high risk in current mortgage finance structure which does not support the buying-off of houses to enable developers recoup their investments on time. The Summit resolved that there was need for necessary machinery to be put in place to promote appropriate construction finance schemes. AUHF members are hereby challenged in this regard. In the summit also, various definitions of affordable housing were adduced. However, the consensus from these definitions revealed that there is no one-size-fit all definition for Affordable Housing. The indices that should be used for defining Affordable Housing would include Segregation, Stratification, Classes of people and their income bracket, not more than one-third net household income of the target group and equity contribution of end-users.
8. I am happy to note that despite the challenges that housing delivery has encountered in the country over the years, the renewed vigor and policy re-orientation of this Administration have set the agenda for Housing revolution. In this regard, the Ministry has produced six (6) designs of one bedroom, two-bedroom, three-bedroom flats, bungalows and condominiums that will represent the Nigerian House which responds to our cultural diversity. Another key area of achievement is the pursuit and promotion of local content and standardization of building components such as doors, windows, tiles, roof boards and other accessories to be produced by local manufacturers as part of our support for local industries SMEs and in pursuit of diversification and job creation. Effort is already being made to embrace and deploy modern technology to mass production of housing in all the States of the Federation and FCT using the Traditional procurement platform and the Contractor Finance Initiative model, to reduce the housing deficit.
9. To make the Housing Sector attractive, viable and stimulate growth, the present Administration plans to de-risk lending to approved Housing Developers. This will entail the government providing guarantees and other credit enhancement to developers. Government therefore plans to issue promissory notes to reduce Developers financing requirements. Government recognizes that provision of leverage and guarantees are critical in attracting private sector funds into the industry thereby creating thousands of affordable houses each year as well as generate considerable employment and commercial activities. These are some of the far reaching contribution of the Finance Minister during the Housing Summit.
10. Ladies and Gentlemen, I wish to state here that much discussion has been held on the housing deficit. There is therefore need to change the story to begin to discuss the housing opportunities. Regardless of issues facing the sector, real estate projects are increasingly being launched and completed in Nigeria. With the present Administration’s many incentives, new investors are expected in the market to continue to deliver positive results.
11. It is on this note that I call on all stakeholders, especially members of the African Union for Housing Finance here present to join hands with the Federal Government towards the realization of its objectives in providing affordable housing to the people. As agent of change, members are enjoined to borrow a leaf from Nigeria and influence their respect home governments to domesticate or localize their housing options to reflect the peculiarities and expectations of the people as well as provide the private sector the needed impetus to invest in the sector.
12. Finally, I wish to state that though the challenges to the sector are real and obvious, we are convinced that with the renewed commitment of this Administration, coupled with strengthened collaborations with all stakeholders in the industry, the desired revolution in the housing sector will be achieved in not too distant future.
13. I wish you all very engaging and thoughtful deliberations and thank you for listening.
DRIVING NIGERIA’S FUTURE: CELEBRATING TWO YEARS OF TRANSFORMATIVE LEADERSHIP AND THE LAGOS-CALABAR COASTAL HIGHWAY MILESTONE
DRIVING NIGERIA’S FUTURE: CELEBRATING TWO YEARS OF TRANSFORMATIVE LEADERSHIP AND THE LAGOS-CALABAR COASTAL HIGHWAY MILESTONE
MID -TERM REVIEW MEETING ON THE IMPLIMENTATION OF THE DECISIONS REACHED AT THE 29TH NATIONAL COUNCIL ON WORKS (NCW) DAY 1
MID -TERM REVIEW MEETING ON THE IMPLIMENTATION OF THE DECISIONS REACHED AT THE 29TH NATIONAL COUNCIL ON WORKS (NCW) DAY 1