HIGH CONSTRUCTION COSTS THREATEN NIGERIA’S AFFORDABLE HOUSING SUPPLY

Afriland has warned that rising construction costs are slowing down affordable housing projects across Nigeria, creating additional challenges for efforts to address the country’s housing deficit.

The financial institution said increasing prices of building materials, higher financing costs, and broader economic pressures are making it more difficult for developers to deliver affordable homes for low and middle-income earners.

According to Afriland, the housing sector requires stronger support through improved access to financing, policy interventions, and measures that can reduce the cost of construction. The institution noted that without targeted solutions, many Nigerians may continue to struggle with access to decent and affordable housing.

Industry stakeholders have also raised concerns over inflation, foreign exchange challenges, and supply chain disruptions affecting the real estate sector. They called for greater collaboration between government, financial institutions, and private developers to create sustainable housing solutions.

Afriland emphasized that addressing the housing challenge will require innovative financing models and long-term strategies that encourage investment while making homes more accessible to Nigerians.