News broke 3 days ago that the NASS has passed the National Housing Bill 2018. Meaning it's just waiting for presidential assent. A few observers have given their views on the new law. This is a thread to break down the law and explore its implication.

A THREAD

#NHFAct2018

The National Housing Fund (Establishment Act) 2018 is a bill to repeal the NHF Act 1992 (now NHF Act Cap 2004). The bill sponsored by Senator Ahmed Lawan has the primary aim of mobilizing additional funding for the financing of housing projects in Nigeria. #NHF2018

The highlights of the bill are:

- Levy of 2.5% on each bag of cement
- Contribution of 2.5% of monthly income of all employees (Public and Private Sector) and self-employed earning from minimum wage and above at an interest rate of 2% p.a.
#NHF2018

- Investment of 10% of PBT of every commercial bank, merchant bank, insurance company and PFA in the fund at the rate of 1% above interest rate payable on current accounts by banks.
- The FG will make “adequate financial contribution & grants” to the fund as it deem fit. #NGF2018

- An employer (public and private) is expected to make the monthly deductions and remit to the fund through the Federal Mortgage Bank of Nigeria (FMBN)
- The CBN shall collect the investment amounts from Commercial and Merchant banks at the end of each year.
#NHF2018