The Coalition of Abuja Builders has warned that the collapse of the real estate and construction industry in Nigeria poses grave “national security risks” and an “economic emergency” requiring urgent government intervention.
Speaking on behalf of its members – prominent real estate developers responsible for delivering over 25,000 homes in the Federal Capital Territory – the coalition in a statement by Abdulmalik Mahdi, Co-Convener and Taiwo Yusuf, Co-Convener, asserted that unprecedented price surges of over 100% on key building materials like cement, iron rods and quarry products threatened the viability of construction companies nationwide.
“Firms are grappling with existential threats, amplifying the strain on our already fragile national economy,” the coalition said in its statement.
It noted that a collapse of the Nigerian real estate market would inflict widespread suffering on stakeholders, including customers, suppliers, affiliates, government entities and the workforce.
“Such an outcome threatens to destabilize local communities, undermine housing access, eliminate jobs and livelihoods for skilled laborers, erode government revenues, and stifle critical infrastructure development – severely impacting national stability and security.
“We assert that this constitutes a national security imperative and economic emergency demanding urgent attention,” the coalition warned.
It praised some initial government efforts to curb soaring cement prices, but stressed that further “necessary measures must be taken to avert this crisis.”
Besides pushing for regulatory reforms and incentives to bolster domestic production capacity, the builders coalition emphasised real estate’s essential role as the foremost employer of skilled workers, numbering in the millions – Nigerians who now face layoffs and income losses without sufficient housing industry support.
“The Renewed Hope Agenda for Housing risks derailment within the prevailing economic climate,” cautioned the Abuja developers, calling for extensive collaboration between policymakers, manufacturers
“And real estate groups to safeguard the construction sector as an anchor of future prosperity. Failure to act decisively places Nigeria on precarious ground,” it added.