Nigeria moves to cap rent at 40% of workers' income as housing deficit hits 16 million units
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Housing Minister Muttaqha Darma says the Federal Government wants workers to stop spending 40 to 60 per cent of their income on rent, as about 110 million Nigerians remain unhoused.
The Minister of Housing and Urban Development, Muttaqha Darma, says the Federal Government intends to ensure that Nigerian workers do not spend 40 to 60 per cent of their income on rent, as part of efforts to widen access to affordable and decent housing.
Darma said excessive spending on rent could force workers to look for additional sources of income to meet other family obligations, including education and welfare, thereby creating conditions that could encourage corruption. He said the government's objective was to reduce the share of workers' income consumed by rent.
According to the minister, about 110 million Nigerians are currently unhoused, requiring an estimated 16 million housing units to close the country's housing deficit. He said the ultimate goal was to ensure that every unhoused Nigerian had a home.
Darma spoke while commending the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) for supporting access to affordable housing for its workers. He said the ministry had engaged stakeholders in the housing sector as well as relevant regulators to facilitate the provision of the required housing units within the coming months.
He also disclosed that the government was taking stock of abandoned housing projects across the country, including schemes initiated during the administration of former President Olusegun Obasanjo, and was compiling statistics while visiting the states where the properties are located. He said the Federal Government was engaging state governors to take over or buy the abandoned projects so they could be renovated and converted into serviceable homes for civil servants.