Bridging housing deficit in Nigeria
HOUSING is one of the most pressing needs of man. Standing in-between food and clothing, shelter is also a must-have even in the domain of lesser animals, just like they need food, like human to live. Apart from the critical role housing plays in man’s existence, it helps in his security and giving him a sense of self esteem.
Interestingly, irrespective of our social and economic status, we all need roof over our heads after the day’s activities. The low status of a man in the society does not make the need for a decent housing less important. However, Nigeria is still miles away from attaining sufficiency in housing for all, just like food shortage has for long been a social challenge. According to World Bank 2014 collection of development indicators, about 50.2% of our people still live in slums and unplanned settlements with its huge psychological and health effects caused by inaccessibility of social amenities. This is even as insignificant percentage live in debauchery and affluence, with catalogue of estates in their names, making the gap between the haves and have-nots become more worrisomely visible.
This social challenge has further been protracted by the country’s uncontrolled population growth which according to World Bank 2017 report is put at 2.6% annually. Available report from Proshare indicates that the national housing deficit is in excess of 17 million units. Not much has been done by those in authority to reasonably bridge this disturbing gap. Sadly, housing finance is at its infancy in our country. Its mortgage ratio is put at 0.5 which is grossly inadequate compared with what obtains in other climes especially South Africa where housing finance has hit 30%.
A non-governmental organization, Centre for Affordable Housing Finance in Africa (CAHF) puts Nigeria’s home ownership rate at 24%, far lower than that of Indonesia that boasts of 84%, Kenya 73% and South Africa 56%. Not even our country’s status as the giant of Africa could come to play in remedying this deficit especially where other countries in the continent are making reasonable progress.
Mortgage finance industry in Nigeria targets mainly high income earners, not including middle and low income earners. This is also coupled with high cost of securing and registering land title in Nigeria where acquisition has now become an exclusive reserve of the rich and those whose friends are in government. In addition to this, the slow administrative procedures, lack of access to finance and inconsistent policy of the government has remained one of the impediments towards achieving sufficiency in housing in the country.
Not so much success has been recorded in the pseudo government interventions at bridging housing deficit in the country. The Federal Housing Authority, equivalent of Federal Housing Administration in the US which was charged with the responsibility of preparing and submitting to the government proposal for national housing programmes, development and management of real estate on both commercial and profitable basis in all states of the federation, provision of sites and services scheme for the benefit of Nigerians has been dwarfed by poor administration and corruption. Like many other interventionist plans, the Federal Housing Authority is in limbo. The schemes wherever they are found across the country are on the ‘A’ list of expensive real estates. They have been sold off to money bags who can afford upfront payment, who then place the burden of recouping their investment on the shoulders of hapless citizens.
Efforts by individuals to put in place a makeshift shelter for themselves and their family members have always been met with brute resistance from the government even when there are no plans to advance their welfare through the provision of housing. Such harsh policies are usually justified with excuses that they are attempting to distort the government’s masterplan. In Abuja for instance, regular demolition of the so called illegal structures has become a recurrent decimal. The period of the current Kaduna state governor, Mallam Nasir el-Rufa’i as the FCT minister recorded the mother of all careless demolitions of people’s homes in the name of maintaining a masterplan, as if the plans are being made for animals and not humans. Till date some of those displaced are either struggling to be on their feet again or joined in the catalogue of things that give us sleepless nights as a people. Some of these lands still lie fallow without any indication that there are plans to develop them anytime soon.
In as much as I do not fault the government’s efforts to control development in the urban centres and restore sanity, there is need to put in place affordable housing system where even the low-income earners can have a place to live. One of the ways to achieve this is not usually by leveling people’s homes, even for vendetta and political reasons. A little regulation could be the magic wand the country needs in its efforts to make housing provision for citizens.
The high cost of building materials cannot be extricated from why our dream for affordable housing for all has not been met. More worrisome, most of the building materials used in the country are imported. This therefore makes the local production of building materials at commercial quantity very imperative. Legion of real estates in Abuja, Lagos, Port Harcourt and other cities have been overgrown by weeds and currently being occupied by rodents. This is because of their unaffordability.
It is a known fact that the government is already overburdened with barrage of issues bedeviling us and may not anytime soon bridge Nigeria’s growing housing deficit. To this end, there is the need for a robust Public Private sector Partnership arrangement. The success recorded in telecommunication, mass media and other sectors can be replicated in housing. Similar efforts failed in the past as a result of poor monitoring and evaluation by the government. This must be guarded against. The greater number of Nigerians sheltered, the better for all of us especially at a period when insecurity in the country has hit the rooftop.