*To accommodate Nigerians who can afford N30,000 monthly as mortgages
The Federal Government has announced the setting up of a N100 billion housing fund to assist low-income earners to own their houses. Yemi Osinbajo, acting president, disclosed this Monday in Abuja.
He said the federal government’s social housing initiative would provide inexpensive mortgages to Nigerians who can afford N30, 000 per month.
“There is also an aspect of the SIP that has not been mentioned. This is N100 billion set aside for the Family Home Fund of our Social Housing Project,” he said, reiterating his earlier speech on May 29, 2017.
Osinbajo, who spoke at the Social Investment Programme’s scorecard presentation Monday organized as part of activities to mark the 2017 Democracy Day celebration, said the project has already started in 11 States of the federation.
Explaining how the fund works, Osinbajo said: “the N100 billion is a yearly contribution to our N1 trillion Social Housing Fund, the largest in the history of the country. “Both the World Bank and AFDB are contributors to the fund from which developers will borrow 80% of cost of project and counter fund with their own 20%.”
He added that “the same fund will enable us to provide inexpensive mortgages for hundreds of thousands across the country especially for Nigerians who can afford N30, 000 per month.”
He said: “we expect that this Family Housing Fund will jumpstart and expand construction exponentially across the country.”
Some of the houses are estimated to cost as low as N2.5 million, which would be paid for through the monthly mortgages. In his broadcast to the nation on Democracy Day, Osinbajo stated that `”the 2017 budget provides for substantial investment to implement our Social Housing Programme.”
By Business a.m. live staff