A $2b affordable housing fund has been created by three stakeholders in order to fight the housing deficit in Nigeria.
The housing shortage in Nigeria is about to be reduced with the creation of a $2 billion fund.
According to The Nation, the fund was created by the Federal Mortgage Bank of Nigeria (FMBN), Real Estate Developers Association of Nigeria (REDAN) and a pan-African finance institution, Shelter Afrique.
The Acting Managing Director of FMBN, Richard Esri, has explained the purpose of the fund.
He said, “We agreed that we needed to bring in Shelter Afrique to work in partnership with REDAN to make available some funds over the next 10 years by providing REDAN members with the necessary construction finance that is required to drive the national housing model.”
Developers will get $200 million yearly for the construction of a targeted 10,000 homes over the next ten years.
The $2 billion fund is expected to reduce development costs for low-income housing, and create more than 150,000 jobs.