Economic and Financial Review

Alternative Title

Developing the Housing Sector in Nigeria – Regulator’s Perspective


Central Bank of Nigeria


Housing Finance, Mortgage Finance, Housing, Nigeria


This article provides a regulator’s perspective on developing the housing sector in Nigeria. The article first examines the interest of the regulator in the housing sector with specific reference to the CBN’s responsibility for the regulation and supervision of all the financial institutions involved in providing housing finance. The article then examined the state of the housing sector in Nigeria and the issues that have hampered the growth of the sector including: absence of access to low cost funding; weak legal framework; inadequate housing supply; and undercapitalised mortgage banks. On the regulator’s perspective on housing market development the article identified the approach that CBN has adopted which focuses on two main areas: providing the regulatory framework that would allow participants in the primary and secondary markets of the mortgage sector to operate in a safe, sound and stable manner; and market development to provide favourable conditions for mortgage businesses. The article further identified key steps taken to address liquidity risk which include: establishment of the Nigeria Mortgage Refinance Company (NMRC); establishment of the Mortgage Warehouse Funding Limited (MWFL); Uniform Underwriting Standards (UUS); ongoing set-up of the Nigeria Mortgage Guarantee Company; and model Mortgage & Foreclosure Law. Regarding new frontiers for the Housing Sector, the CBN is looking towards implementing the following initiatives for the housing sector: mortgage interest drawback program; mortgage backed securities (MBS); mortgage guarantee company; advocacy for the model mortgage & foreclosure law; and global standing instruction (GSI).

Author Bio

Mrs. Olatokunbo A. Martins was the former Director, Other Financial Institutions Supervision Department, Central Bank of Nigeria.

Publication Title

CBN Economic and Financial Review





Recommended Citation

Martins, O. A. (2019). Developing the Housing Sector in Nigeria – A Regulator’s Perspective. CBN Economic and Financial Review. 57(4), 69-84.



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