The Ministry of Works and Housing has disclosed a partnership with the Ministry of Finance, Budget and National Planning to lower interest and lending rates in an effort to reduce Nigeria’s housing deficit.
According to the Minister, the FG is working to reduce long term financing for Nigeria’s housing deficit. He stated that what the government can do to strengthen that space is to use its fiscal and monetary policies muscles to make it even more prolific to play by bringing down the rates – interest and lending rates.
His words: “I’m happy to observe that in the last four years at least, the footprints of the private sector in real estate is increasing. Government should ensure long tenure financing and these are conversations I’m having with my colleagues, the Minister of Finance, Budget and National Planning.”
Amongst others, the Minister pointed that policy challenges facing the industry include landlords asking tenants to pay three years rent in advance for salaries earned monthly in arrears. He noted that there is a mismatch as housing will never be affordable because the bulk of available properties do not belong to the government but to private citizens.