The Tinubu-led administration, through the Federal Housing Authority (FHA), has earmarked approximately N776.15 million for land acquisition and housing construction in its 2024 budget, constituting almost 20% of its total budget allocation of N3.94 billion.
However, the allocation presents a dilemma as the majority of the budget, a considerable 61.4%, is allocated for salary payments, amounting to N2.42 billion.
The high salary bill has raised concerns about whether enough resources are directed toward the agency’s primary mandate of housing development.
The FHA has outlined plans to generate revenue through various means to supplement its financial resources. The agency aims to collect N4.5 million from rents charged to kiosk and shopping centre owners in 2024.
Moreover, the FHA has set targets to derive income from estate sales, projecting a substantial revenue of N4.13 billion.
Additional significant revenue streams include capital development levies (N900 million), consent fees (N620 million), and ground rents (N600 million).
Established in 1973 under the National Development Plan, the FHA underwent a transformative shift in 1992, assuming a dual role as a government housing delivery agency and a profit-driven commercial enterprise.
This evolution aimed to enhance living standards, particularly for low-income Nigerians, by implementing affordable housing programs aligned with the National Housing Policy.
