The growing housing crisis in Nigeria has left millions of citizens grappling with the challenge of owning or accessing affordable homes.
Experts believe that leveraging insurance and pension schemes could be a transformative solution to this pressing issue.
With a housing deficit estimated at over 20 million units, innovative financial mechanisms are needed to bridge the gap. By integrating insurance policies and pension funds into housing finance, Nigerians can access long-term, low-interest mortgage plans and better housing opportunities.
Insurance can provide security for homeowners against risks such as property loss or damage, while pension schemes offer a sustainable pool of funds for mortgage financing. Experts argue that aligning these two sectors with housing policies could make homeownership more attainable for the average Nigerian.
Stakeholders have called on the government and private sector to collaborate in creating policies that enable the use of pension contributions as collateral for housing loans. Similarly, incentivizing insurance providers to offer affordable housing-related policies can further strengthen the framework.
By prioritizing reforms in the insurance and pension industries, Nigeria could take a significant step towards reducing homelessness and providing affordable housing for its citizens.
