Reps To Review National Housing Fund Law
Speaker of the House of Representatives, Hon. Tajudeen Abbas, on Wednesday, said that the House would review the obsolete National Housing Fund Scheme Act of 1992 in line with the current realities in the country.
He stated this while declaring open the investigative hearing organised by the House ad-hoc committee on the non-remittance of contributions to the National Housing Fund and the Utilisation of the fund from 2011 to date headed by Hon. Dachung Musa Bagos.
Abbas said that the scheme, which was designed to ensure that Nigerians have access to affordable housing mandates for all employers has become obsolete hence the next review.
According to him, ” The National Housing Fund (NHF) represents a commitment to addressing one of the most fundamental needs of our citizens –affordable housing. 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” The House will look into this law, which is obsolete now.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.
” 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.
In his opening remarks, the chairman of the ad hoc committee, Hon Datchung Bagos urged stakeholders to be forthcoming in their presentations and submissions as petitions by aggrieved who should benefit from the Housing Renovation loan scheme were varied and grave.
He assured that the committee would be thorough in its investigation and promised that all the agencies that would appear before it would be given a fair hearing to be able to get the true position of things concerning the scheme.
“This hearing is to get needed inputs from relevant stakeholders on the issue at hand and to ensure that the challenges faced by Nigerian workers in the housing sector are reduced to their barest minimum if possible completely solved.
“As you are aware 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 Nigerian 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.
“Despite the efforts by successive governments housing deficit in Nigeria is still high with contributors to the scheme still not having a roof over their heads, more so that the process of applying for the facility is stringent.
“You will recall that 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.
“As legislators, we are resolved to do due diligence to unravel any setback and to ensure that an average Nigerian worker and contributor benefits from the scheme”.
