National Assembly secures additional N50 Billion for Housing Ministry in 2025 Budget
The National Assembly has secured an additional N50 billion for the Federal Ministry of Housing and Urban Development in the 2025 budget.
This increase reverses an earlier reduction proposed by the Budget Office, aiming to boost the housing sector, create jobs, and address inherited liabilities.
Minister of Housing and Urban Development, Arc. Ahmed Musa Dangiwa, made the announcement during a stakeholders’ retreat organized by the Ministry in Lagos on Wednesday, February 19, 2025, as disclosed in a statement published on the ministry’s website.
He explained that the increased budgetary allocation would enhance the ministry’s capacity to execute key projects, positively impacting the economy.
“In a significant boost to the housing sector, Arc. Dangiwa announced that the National Assembly has secured an additional N50 billion for the Ministry’s 2025 budget. This increase follows an initial budget reduction proposed by the Budget Office.
“He noted that the additional funding will lead to creation of more jobs while the ministry is able to clear inherited liabilities and impact positively on the economy,” the statement read in part.
According to Arc. Dangiwa, the additional funding aligns with the Renewed Hope Agenda of current administration and highlights the government’s commitment to addressing the challenges in the housing sector.
The Minister emphasized that the housing sector had suffered from neglect in the past but assured stakeholders of his commitment to work closely with the National Assembly and other relevant bodies to ensure the successful implementation of the Ministry’s initiatives.
More insight
The increased budget allocation is expected to support ongoing projects, including the 14 active construction sites for 10,112 housing units, which are nearing completion.
- Additionally, the funding will facilitate the implementation of the National Land Registration and Titling Programme, launched in collaboration with the World Bank, aimed at simplifying property ownership and boosting investor confidence.
- The Chairman of the Senate Committee on Lands, Housing, and Urban Development, Senator Aminu Waziri Tambuwal, reiterated legislative support for the Ministry’s initiatives, advocating for continued funding to drive progress.
- He also highlighted ongoing efforts to recapitalize the Federal Mortgage Bank of Nigeria (FMBN) and reinstate the Federal Housing Authority (FHA) in the Federal Budget.
Similarly, Hon Abiante Awaji, Chairman of the House Committee on Regional Planning and Urban Development, emphasized a multi-sectoral approach to tackling challenges in the built environment, including the reintroduction of technical education for skill development.
What you should know
President Bola Tinubu initially proposed a N49.7 trillion budget for 2025, which allocated N98.1 billion to the Federal Ministry of Housing and Urban Development. However, the Nigerian Senate recently passed the 2025 Appropriation Bill, approving a record-high budget of N54.99 trillion.
- Senate President Godswill Akpio explained that the budget increase was due to new revenue inflows from key agencies, aimed at strengthening the fiscal framework for 2025.
- With this adjustment, the Federal Ministry of Housing and Urban Development received an additional N50 billion, bringing its total allocation to N148,129,466,213.
- The Minister of Housing and Urban Development, Arc. Ahmed Musa Dangiwa, had emphasized last year the need for an annual allocation of N500 billion to effectively address the country’s housing deficit under the Renewed Hope Estates and Cities program.
- Dangiwa pointed out a significant gap between budgetary provisions and Nigeria’s housing needs, highlighting that N5.5 trillion per year is required to achieve the annual target of 550,000 housing units over the next decade.
He noted that the N500 billion represents less than 10% of the needed amount each year, underscoring the challenge of meeting the nation’s housing demands.
