The Federal Government has unveiled plans to create a National Housing Finance Authority as part of ongoing efforts to make mortgage financing more accessible and affordable for Nigerians.
Minister of Housing and Urban Development, Dr. Muttaqha Darma, disclosed the proposal on Tuesday during a stakeholders’ validation workshop in Abuja. He explained that the proposed agency would be created under a new National Mortgage Industry Policy aimed at strengthening the country’s housing finance system.
According to the minister, the reforms are also expected to reposition the Federal Mortgage Bank of Nigeria (FMBN) while expanding participation in the National Housing Fund (NHF).
He said the government intends to open the NHF to traders, artisans and other workers in the informal sector, allowing them to contribute from as little as N5,000 monthly. The move, he noted, is designed to promote financial inclusion and give more Nigerians access to affordable homeownership.
Dr. Darma highlighted the growing significance of the real estate sector, noting that following the rebasing of Nigeria’s economy, real estate services now account for about 13.4 per cent of the country’s Gross Domestic Product (GDP), representing an estimated N41 trillion.
He added that when combined with the construction sector, the industry’s total contribution surpassed N77 trillion in 2025, making it one of the country’s largest economic drivers.
Emphasising the need for stronger regulation, the minister said investor confidence depends on trust rather than financial resources alone.
He argued that effective regulations would encourage greater private sector investment in housing and improve the overall mortgage industry.
As part of the reform agenda, the government is also proposing the establishment of a National Housing Industry Regulatory Commission to oversee the activities of property developers and mortgage institutions.
The planned reforms are aimed at addressing Nigeria’s housing deficit, improving access to affordable housing and supporting sustainable urban development across the country.
(NAN)