…FG accused of chasing profit, neglecting public interest
By Maduka Nweke
The Federal Government’s plan to rake in N300 billion from the sale of much touted affordable housing units has been heavily criticised by property developers in Lekki, Lagos and other stakeholders. They insisted that the move was a betrayal of the public trust and a total deviation from the core principles of social welfare.
Voices from across the housing sector, civil society and the wider public have lampooned the government for placing profit above people, at a time when millions of Nigerians are struggling to access decent and affordable shelter.
Some stakeholders have faulted the Federal Government’s move to target revenue from its affordable housing projects, insisting that housing, as a social good, should not be treated as a profit-making venture. They argue that government’s primary obligation should be to provide incentives and essential services that ease the burden of living for citizens, not to compete with the private sector in pricing.
Mr. Aaron Akalaonu, a housing expert, expressed dismay over what he described as government’s misplaced priorities. “When the government provides accommodation, the public naturally rushes to it because it’s assumed to be more affordable, thanks to subsidies and duty exemptions on building materials,” he said. “How can prices from the private sector be lower than those from the government? The government does not pay the same duties and taxes as private developers. The materials used in public projects are cheaper, so the final cost should reflect that. Why then are government properties more expensive? Indirectly, the government is helping to raise inflation.”
In a similar vein, Aminu Chidanun, a property agent operating in Amuwo Odofin, Lagos, accused the government of distorting the real estate market while failing to support private operators. “The government doesn’t allow private marketers to handle their property sales, yet they make the market harder for us,” he said. “If I’m trying to sell property and the government is doing the same, their officials will hoard theirs, and I will still finish selling mine first because they place outrageous prices on theirs. How can the Federal Government invest N500 billion in property development and expect to earn N300 billion in profit?”
Their concerns follow a recent disclosure by the Minister of Housing and Urban Development, Ahmed Dangiwa, who revealed that the government is aiming to recoup at least N300 billion from the sale of its affordable housing units within two years of development. Speaking during an oversight visit by the Senate Committee on Lands, Housing, and Urban Development, Dangiwa explained that with a N500 billion allocation from the 2023 supplementary budget, the ministry could offset a large portion through property sales.
He pointed to the Renewed Hope Cities and Estates initiative as the flagship of this effort, with 13 development sites already underway. “This initiative, designed to reduce Nigeria’s housing deficit, is being executed through public-private partnerships,” Dangiwa said. “Our collaboration with reputable developers includes the Karsana project in Abuja, where 3,112 housing units are under construction.”
The minister also mentioned other ongoing efforts, such as the Slum Upgrade and Urban Renewal Program spanning 28 locations nationwide. According to him, 1,000 housing units are expected to be completed by the end of the year, while the rest are scheduled for mid-2026.
“President Bola Ahmed Tinubu will commission the completed units in Karsana. Under the Renewed Hope Cities and Estates programme, we aim to deliver 100,000 housing units across Nigeria, with 20,000 in Abuja alone,” he added.
The funding model, Dangiwa explained, allows developers to secure financing while the Federal Government provides guarantees to ease loan access. A steering committee made up of officials, developers, and financial institutions is overseeing the project’s execution and ensuring transparency.
Also speaking during the oversight visit, Senator Aminu Tambuwal, Chairman of the Senate Committee on Lands, Housing, and Urban Development, underscored the committee’s duty to monitor government spending and assess project delivery. “This visit marks the beginning of our oversight activities for the 2023 supplementary and 2024 budgets. Housing development plays a vital role in economic growth and wealth distribution, and we are pushing for greater investment in the sector,” Tambuwal said.
The committee reviewed key documents including budget performance reports, implementation timelines, and frameworks for public-private partnerships. With a N300 billion revenue target in sight, government officials maintain that the programme not only seeks to provide affordable homes but also stimulate economic activity and job creation across the country.
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