Real Estate Sector’s Contribution To GDP To Hit $2.25Trn In 2025 – FG

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The Federal Government has projected that real estate sector’s contribution to the nation’s Gross Domestic Product (GDP) will rise to $2.25 trillion this year.

The Minister of Housing and Urban Development, Mr. Ahmed Dangiwa, made the projection on Tuesday at the Saudi Real Estate Forum with the theme ‘Balance and Innovation in the Real Estate Landscape’.

He advised foreign investors to explore the opportunities in the housing sector, particularly through the Federal Government’s Renewed Hope Cities and Estates Programme.

A statement issued the minister’s Special Assistant Media and Strategy, Mark Chieshe, quoted him as highlighting the significant growth prospects in Nigeria’s real estate market, based on the country’s housing deficit, during a panel discussion at the event

Kangiwa explained: “Nigeria’s real estate sector contributed around 5.2 per cent to the nation’s GDP in 2024, and will increase in market volume to $2.25tn by the end of 2025.

“Despite this, there is still tremendous investment opportunity, especially in the residential real estate segment. Nigerians need homes now more than ever and you can partner with the Nigerian government to deliver these houses at scale”, the minister added.

Dangiwa, who maintained that Nigeria currently had a housing deficit of 28 million units, explained that the government had been tackling the gap by prioritizing large-scale housing delivery through public-private partnerships, innovative financing, and government-led interventions.

He also spoke on the Federal Government’s efforts to partner the state governments in unlocking land for affordable housing projects, as land acquisition remains a challenge, stressing that given the broader implications of housing on economic growth and stability, the Nigerian government is committed to frontally tackle the  challenges in the sector.

The minister said: “Housing is a fundamental driver of economic growth, social stability, and national development.

“However, achieving a balance in the real estate sector between affordability and profitability means that the challenges of sustainability and cost efficiency, as well as policy and private sector incentives must be addressed”, he added.

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