The Minister of Housing and Urban Development, Architect Ahmed Musa Dangiwa, has tendered an apology to the House Committee on Housing, chaired by Honorable Abdulmumin Jibrin, for his absence during the recent budget defense session. Dangiwa explained that his absence was due to a pressing national assignment, which required him to delegate the responsibility to the ministry’s Permanent Secretary, Dr. Shuaibu Belgore.
Following his apology, the minister proceeded to present a detailed report on the 2023 supplementary budget, the 2024 appropriation and performance, as well as the 2025 budget proposal.
Overview of Budget Allocations and Performance
Architect Dangiwa disclosed that the Ministry of Housing and Urban Development was allocated ₦100 billion in the 2023 supplementary budget for urban renewal projects and the “Renewed Hope Estate.” For the 2024 fiscal year, the ministry received a capital appropriation of ₦162.3 billion. However, only ₦36.68 billion of this amount was released, and 84% of the released funds had been utilized.
The minister highlighted delays in the procurement process as a major bottleneck, noting that contractors only received their award letters in December 2024, which slowed project implementation.
In terms of revenue, the ministry generated a total of ₦11.8 billion in 2024. This included:
- ₦3.02 billion from tender fees, land payments, and ground rents.
- ₦5.8 billion from the sale of houses.
- ₦3.03 billion from withholding tax, value-added tax (VAT), and stamp duties.
Housing Projects and Plans
The minister unveiled an ambitious plan to construct 50,000 housing units across the country as part of the administration’s efforts to address Nigeria’s housing deficit. He also provided updates on the National Housing Project, outlining completed and ongoing projects.
However, he acknowledged significant liabilities incurred from completed projects, citing affordability issues as a major challenge. Many citizens have been unable to purchase the houses, leading to financial strains on the ministry.
2025 Budget and Funding Challenges
For the 2025 fiscal year, the ministry was allocated ₦83 billion, a significant reduction compared to the previous year. The minister expressed concern over the reduced funding, stressing that adequate financing is critical to driving development, particularly in slum upgrades and the “Renewed Hope Housing” initiative.
Architect Dangiwa also emphasized the need for structural reforms, including the establishment of a National Housing Fund and a National Social Housing Commission, to ensure sustainable development in the housing sector.
Committee’s Response
In his remarks, Honorable Abdulmumin Jibrin acknowledged the ministry’s efforts but noted that the milestones achieved fell short of the set targets. He assured the minister that the committee would take decisive actions to address challenges not only within the ministry but across the entire housing sector.
Jibrin emphasized that the committee had conducted oversight with facts and pledged to scrutinize the ministry’s documents further. He assured stakeholders that the committee’s position and recommendations would be communicated in due course.