The Housing Development Advocacy Network (HDAN) has raised concerns over the delay in the disbursement of the N200 billion housing loan approved by the Central Bank of Nigeria (CBN) for low-cost housing. The loan was approved in 2020 but is yet to be released, three years after the approval.
According to the Executive Director of HDAN, Festus Adebayo, the loan was intended for the building of 300,000 homes for low-income earners across the 36 states and the Federal Capital Territory (FCT) and to generate 1.5 million jobs in five years. The loan was meant to be disbursed to the Family Homes Funds Ltd, a government-owned housing finance agency.
Adebayo expressed concern over the delay in the release of the funds, adding that all necessary processes for the loan disbursement have been concluded. He called on the CBN governor to explain the reason for the delay and urged the incoming government to ensure the funds are released to support social housing provision.
The CBN had said that the programme will house up to 900,000 low-income earners with a direct impact on health, education, and economic outcomes. The buildings were to be constructed using about 90 per cent of locally sourced materials, revitalising local manufacture of construction materials. Beneficiaries were expected to pay an interest rate of not more than 5.0% p.a. (all-inclusive).
The delay in the disbursement of the N200 billion housing loan by the CBN has raised concerns among stakeholders, who are urging the apex bank to expedite the process and ensure the funds are released to support the development of low-cost housing.