The Federal Government has opened talks with the Kuwait Fund for Arab Economic Development (KFAED) to attract funding and technical support for affordable housing and critical infrastructure projects across Nigeria.
Minister of Housing and Urban Development, Arc. Ahmed Dangiwa, disclosed this during a meeting with a KFAED delegation in Abuja last Wednesday. The engagement explored potential areas of collaboration aimed at advancing the ministry’s infrastructure and social housing initiatives.
According to a statement by the ministry’s Director of Press and Public Relations, Badamasi Haiba, Dangiwa emphasized key intervention areas, including the establishment of Building Materials Manufacturing Hubs in Nigeria’s six geopolitical zones. Each hub, spanning between 200 and 300 hectares, will be equipped with roads, electricity, drainage, and water facilities. These hubs are expected to lower construction costs and generate employment by enabling local production of materials such as roofing sheets, tiles, doors, and windows.
The minister revealed that four investors are already on board for the hubs, and the government will allocate plots once infrastructure is completed.
Also on the agenda was the Abuja Centenary City District project— a 1,200-hectare smart city along Airport Road. Dangiwa sought the Fund’s support to develop essential infrastructure to attract investors for residential, commercial, industrial, and tourism purposes.
On urban renewal, Dangiwa highlighted the ministry’s slum upgrade initiative, which has already completed over 120 of 150 targeted projects under last year’s budget. These upgrades include roads, sanitation, electricity, schools, and hospitals.
He also briefed the Fund on the challenges facing the Renewed Hope Social Housing Program, which aims to deliver 100 affordable homes in each of Nigeria’s 774 local government areas. Under the plan, 70% of homes will be sold at subsidized rates to low-income earners, while the remaining 30% will be allocated to the most vulnerable, including the homeless and displaced persons.
In response, KFAED Director-General Dr. Wahad Al-Bahar expressed interest in supporting Nigeria’s infrastructure drive but emphasized the importance of updated feasibility studies for each proposed project.
“These are areas we can support,” Al-Bahar said, “but we need current feasibility studies, including cost implications, to proceed.” He noted that while the Fund does not finance direct housing construction, it supports related infrastructure such as transportation, education, and agriculture.
Dr. Al-Bahar also confirmed the Fund’s willingness to help Nigeria develop or revise necessary feasibility studies, adding that KFAED provides soft loans under favorable conditions with a 20–25-year maturity period and low interest rates.
He highlighted the Fund’s first agreement with the Kaduna State Government under the Reaching Out-of-School Children Program as a promising start to further partnerships.
Both parties expressed optimism about future collaborations, especially in infrastructure development, urban renewal, and social housing—areas seen as critical to Nigeria’s development goals under the Tinubu administration.
