FG Seeks Kuwait Partnership to Tackle Housing Deficit, Drive Urban Development
The Federal Government of Nigeria has begun formal discussions with the Kuwait Fund for Arab Economic Development (KFAED) in a strategic push to secure international support for the country’s ambitious affordable housing and urban renewal programmes.
The move, spearheaded by the Minister of Housing and Urban Development, Ahmed Musa Dangiwa, is part of efforts under President Tinubu’s Renewed Hope Agenda to address Nigeria’s housing shortfall—estimated at over 28 million units—and promote inclusive urban development.
During a meeting with the Kuwait Fund delegation in Abuja, Minister Dangiwa outlined Nigeria’s urgent need for sustainable funding and infrastructure investment.
He stressed that soft loans and technical support from Kuwait could help unlock stalled housing projects and improve living conditions in urban slums.
He emphasized the need for financial backing on key initiatives such as:
• The Renewed Hope Cities and Estates project, which is building thousands of homes across states.
• The proposed Building Materials Manufacturing Hubs, each spanning 200–300 hectares in six geopolitical zones.
• Centenary City, Abuja, a 1,200-hectare district needing infrastructure upgrades to stimulate private investment.
• A national slum upgrading programme, targeting over 150 underserved communities with basic amenities like roads, water, health facilities, and schools.
Speaking on behalf of KFAED, Director-General, Dr. Waleed Al-Bahar expressed strong interest in supporting Nigeria’s development efforts. He noted that while the Fund does not finance direct housing construction, it is open to providing soft infrastructure loans and technical expertise for housing-related projects.
“We typically fund infrastructure components—roads, power, water supply, education, and health facilities—that support wider development objectives,” Al-Bahar said, adding that the Fund is ready to finance well-prepared projects with completed feasibility studies.
The Fund also offered assistance in project preparation, including funding or enhancing technical and economic feasibility assessments.
One of the most ambitious elements of the government’s plan is the Renewed Hope Social Housing Scheme, which aims to construct 100 low-cost homes in each of Nigeria’s 774 local government areas. The initiative is designed for low-income earners, including options as low as ₦2 million for core starter homes. This, government officials say, will only be achievable with significant donor and development finance support.
Nigeria currently requires about $6.25 billion annually in new investment to meet its housing targets. With limited domestic resources, the government is intensifying efforts to attract public-private partnerships and foreign funding, like that offered by KFAED, to bridge the gap.
Already, over ₦70 billion has been mobilized under the Renewed Hope housing programme, and more funding windows are being explored through regional and multilateral institutions.
The engagement with Kuwait signals Nigeria’s growing interest in leveraging international development partnerships to deliver housing infrastructure and inclusive urban growth.
If finalized, the partnership could catalyze progress in the slum upgrade agenda, unlock stalled mega-estates like Centenary City, and deepen Kuwait’s presence in Nigeria’s development space.
The Housing Ministry is expected to follow up with project documentation and feasibility studies as talks advance.
The collaboration with the Kuwait Fund is being hailed as a timely boost for the Tinubu administration’s pledge to deliver 500,000 housing units annually and to promote livable, economically viable cities across the country.
