The Federal Government sets aside N11.5 billion in its proposed N49.74 trillion budget for the 2025 fiscal year to construct 20,000 housing units under the Renewed Hope Agenda housing scheme. This initiative is part of the Federal Ministry of Housing and Urban Development’s total budget of N98.13 billion.
The project focuses on reducing Nigeria’s housing deficit by providing affordable housing solutions across the country. This allocation highlights the government’s commitment to improving housing infrastructure and ensuring access to decent accommodation for citizens.
Currently, 13,612 housing units under the Renewed Hope Cities and Estates scheme are in various stages of development. The funds will complete the remaining units required to meet the 20,000-unit target and cover financial commitments for ongoing projects.
Additionally, the budget includes N3 billion for prototype housing schemes in Suleja, Niger State, and Ikorodu, Lagos State.
Key Features of the Renewed Hope Programme
The Renewed Hope Estates and Cities initiative, launched by President Bola Tinubu, seeks to address housing challenges in Nigeria through innovative funding and development models:
- Launch: The program starts in February 2024 with the groundbreaking of the 3,112-unit Renewed Hope City in Karsana District, Abuja.
- Development Approach: Renewed Hope Cities are built through Public-Private Partnerships (PPPs), where private developers bear land and infrastructure costs, often financed through high-interest loans. In contrast, Renewed Hope Estates benefit from government subsidies and free land provided by state governments.
- Cost Comparison: One-bedroom apartments in Renewed Hope Estates are priced between N8-9 million, while similar units in PPP-developed Renewed Hope Cities cost N22 million, according to Housing Minister Musa Dangiwa.
Despite the allocation, the Housing Minister emphasizes that current funding is inadequate to resolve Nigeria’s housing deficit. He estimates that N5.5 trillion is required annually to tackle the crisis effectively.
Dangiwa advocates for increasing the housing budget to a minimum of N500 billion annually, starting in 2025. He secures the National Assembly’s support for this adjustment to ensure sustained progress in addressing the housing crisis.
This ambitious initiative marks a significant step toward closing Nigeria’s housing gap but underscores the importance of consistent funding and strategic planning to achieve long-term goals.
