The Federal Government is set to launch a Green Mortgage Scheme in collaboration with the German Development Cooperation (GIZ) to promote energy-efficient and climate-smart housing in Nigeria. This initiative was announced by the Minister of Housing and Urban Development, Ahmed Musa Dangiwa, during a meeting with officials of GIZ in Abuja.
The proposed scheme will be piloted under the Federal Mortgage Bank of Nigeria (FMBN) and integrated into the National Housing Fund (NHF) framework, aligning with the goals of the Renewed Hope Housing Programme of the Tinubu administration.
“We see strong potential to adapt a similar green mortgage model within the Federal Mortgage Bank of Nigeria under the National Housing Fund Scheme,” Dangiwa said. “The plan is to drive the supply and uptake of energy-efficient affordable homes under the Renewed Hope Housing Programme.”
The Green Mortgage Scheme is part of GIZ’s broader Partnership for Energy Efficiency in Buildings (PEEB), which is aimed at helping countries improve energy performance in the building sector. With Nigeria now identified as a key partner in this programme, the country is set to benefit from technical and policy support.
Dangiwa highlighted that this initiative supports President Bola Tinubu’s Renewed Hope Agenda, which aims to create inclusive, climate-resilient, and sustainable communities across Nigeria. He also referenced international models such as Mexico’s INFONAVIT, which successfully integrates green mortgages to promote sustainability and reduce energy costs for low-income earners.
“This is essential to meet national climate goals and ensure a livable future for generations to come,” Dangiwa noted. “The ministry will embed energy-efficient standards in all housing projects, including those under the Renewed Hope Cities and Estates Programme.”
The minister has already directed that all future housing projects must include green and climate-smart features. As part of this new direction, the ministry will also review the National Building Code, establish Building Materials Manufacturing Hubs, and upgrade the National Urban Renewal Programme to incorporate green infrastructure in slum redevelopment efforts.
GIZ Country Director, Markus Wagner, reaffirmed the organisation’s commitment to the partnership, noting that the German-Nigeria Energy Partnership, which began in 2008, will be deepened through this initiative. “GIZ is ready to support the Ministry with technical assistance, climate finance access, and policy development,” Wagner said.
Wagner also revealed that an energy audit of 14 tertiary healthcare facilities will begin in May, alongside new energy efficiency support efforts in Kano State. He added that the goal is to build the ministry’s capacity in designing, constructing, and operating energy-efficient buildings.
The pilot green mortgage scheme is expected to provide a new financing option for Nigerians interested in owning affordable homes with lower energy costs, while also contributing to Nigeria’s climate targets and energy transition objectives.
