Nigeria’s Central Bank says it has launched a N200 billion financing initiative to develop 300,000 homes across the 36 states of the federation and the federal capital territory (FCT), Abuja.
The apex bank explained that the financing initiative will be implemented in collaboration with Family Homes Fund Ltd (FHF), as the lead developer.CBN noted that the initiative will create up to 1.5 million jobs in five years.
The bank made this known in a framework for the implementation of family homes financing initiative it made public on Tuesday.
“The programme will aim at creating rapidly, up to 1.5 million direct construction sector jobs (at the rate of five jobs/home) particularly young people on a low income,” the document said.
“In addition, it has the potential to create further 1 million jobs through its supply chain.
“The programme is designed to utilize at least 90 percent locally manufactured inputs and as a result conserve foreign exchange. It will house up to 900,000 children and adults (at an average of three persons/home) on a low income with a direct impact on health, education and economic outcomes.”
“Funds would be released to FHF on project basis subject to the cumulative maximum limit of N200 billion,” CBN said.
“The interest rate under the intervention shall be at not more than 5.0 percent per annum (all-inclusive).”
The CBN says it is targeting people who are currently living in informal settlements with shared facilities in unsanitary environments.