The Speaker of the House of Representatives Hon Tajudeen Abbas says, in line with the current economy realities of Nigeria, the House would review the obsolete National Housing Fund Act of 1992.
He made the announcement while inaugurating the Ad-hoc Committee tasked with investigating the non-remittance of contributions to the National Housing Fund and utilisation of the Fund from 2011 till date.
The Speaker said that the scheme which was designed to ensure that Nigerians have access to affordable housing, has become obsolete hence the need for review
“The National Housing Fund (NHF) represents a commitment to address one of the most fundamental needs of our citizens – affordable housing,” he said.
Established by the NHF Act of 1992, this scheme which was designed to ensure that Nigerians have access to affordable housing mandates all employers – in both the private and public sectors – to contribute 2.5% of their workers’ monthly earnings into this Fund.
” As you are aware, offending sections 20 & 21 of this Act has convicts liable to both fine and imprisonment.
” The House will look into this law which is obsolete now. From 1992 till date calls for a review. There are other issues that the House will inject to make it fit for purpose,” the Speaker noted.
” As a noble initiative rooted in the principles of collective responsibility,
the scheme identifies the critical need to ensure access to affordable housing by hard-working Nigerians, in order to bridge the housing deficit gap in the country.
” However, to become a reality, we all know it is crucial that the Fund is managed transparently, efficiently,
and in strict adherence to the law.
The House was therefore alarmed to receive allegations of non-remittance by employers and in other cases, mismanagement and misappropriation of the hard-earned salaries of Nigerian workers, by the administering institution. Hon Abbas added.
Non-Remittance
The Speaker pointed out that it was within this context that the House resolved to investigate the alleged non remittance to the National Fund and critically review the utilisation of the Fund from 2011 to date.
“Thus, the mandate of this committee is a crucial one that resonates deeply with the well-being and aspirations of the Nigerian worker.
” Your task, as members of this Ad-Hoc Committee, is to shed light on
the utilization of these contributions, to ensure that the NHF fulfils its mandate to provide affordable housing solutions.
” The allegations of non-remittance are grievous, and we must uncover the truth, in order to hold those responsible accountable, and safeguard the interests of those who have diligently contributed to this Fund”.
He implored the Committee to embark on the investigation with a profound sense of responsibility, “bearing in mind that the National Housing Fund holds the potential to transform the lives of countless hardworking Nigerians by providing them with the opportunity to
secure affordable housing.”
Represented by the Deputy Speaker, Hon Benjamin Kalu, the Speaker advised the Members of the Committee to be guided by principles of fairness, equity, and diligence, saying “our mission is not only to uncover any irregularities but also to propose solutions that will strengthen the NHF and ensure it serves its intended purpose, while also preventing a reoccurrence of these issues”.
While expressing total confidence in the collective wisdom and dedication, also the expertise of the members of the Committee, the Speaker said “together, we have the power to protect the rights of Nigerians to affordable housing through the National Housing Fund, and we shall fight vigorously to so protect these rights.”
In his opening remarks, the Chairman of the Committee, Hon Datchung Bagos said that the committee hopes to assist the average Nigerian worker to have a house over their heads.
He said that the hearing was to get relevant input from stakeholders towards solving the housing needs of the Nigerian worker.
Hon Bagos urged Stakeholders to be forthcoming in their presentations and submissions.
“This hearing is to get needed input from relevant stakeholders on the issue at hand and to ensure that the challenges faced by Nigerian workers in the housing sector is reduced to its barest minimum if possible completely solved.
“As you are aware that the NHF Scheme was set-up by the Federal Government in 1992 to ameliorate the housing needs of Nigerian workers, both in the public and private sector as contained in Section 4 (1) of the NHF Act, which entitles all Nigerians above the age of 21 years and gainfully employed to access the loan with a very low interest rate.
“Part of the intention of the scheme was to create a very conducive environment for Nigerians especially workers within low and medium income range, designed in such a way that a certain percentage 2.5% from the monthly salary of every worker is deducted and remitted into an account with the Federal Mortgage Bank.”
“Despitethe efforts by successive governments, housing deficit in Nigeria is still high while contributors to the scheme still don’t have a roof on their head, more so, that the process of applying for the facility is stringent,” he lamented.
“You will recall that because of the inability of contributors to adequately benefit from the scheme both the Nigerian Labour Congress (NLC) and Nigeria Employers Consultative Association (NECA) directed its members to stop contributing to the scheme in the early year 2000”. Hon Bagos said.
He added that “as Legislators we are resolved to do due diligence to unravel any set back and to ensure that an average Nigerian worker and contributors benefits from the scheme.”
Major stakeholders in the housing sector made submissions on how to solve the housing challenge in Nigeria.
