The Federal Government, through the Federal Ministry of Agriculture and Food Security, has finalized plans to establish the Cooperative Bank of Nigeria, a specialized financial institution substantially owned by cooperatives and cooperators. The bank aims to finance housing projects and provide accessible financing support to cooperative societies and underserved sectors, including cooperative housing initiatives.
Modern and Transparent Banking Ecosystem
The proposed bank is expected to operate as a modern, digitally driven, transparent, inclusive, and economically viable ecosystem. Speaking at the Cooperative Housing Summit Africa (CHOSA) in Abuja, the Minister of State for Agriculture and Food Security and Supervising Minister of Cooperative Affairs, Dr. Aliyu S. Abdullahi, explained that the initiative is government-enabled but not government-funded. It will be built on cooperative ownership principles and strategic partnerships.
Renewed Hope Cooperative Reform Programme
The Federal Government also plans to overhaul the nation's microcredit and agrarian asset structures through the introduction of the Renewed Hope Cooperative Reform and Revamp Programme (RH-CRRP). Abdullahi, represented by the ministry's Permanent Secretary, Dr. Marcus Olaniyi Ogunbiyi, unveiled a technical committee tasked with implementing the five-year development blueprint. He described the initiative as a direct macroeconomic response to structural fragmentation, data deficits, and credit bottlenecks limiting the productivity of Nigeria's real sector.
Ownership Structure and Benefits
The proposed ownership structure allocates 65 percent controlling equity to cooperative societies, 30 percent non-controlling equity to strategic investors, development finance institutions, individual cooperative societies, and cooperators. Employees would hold the remaining five percent equity stake. According to the minister, this model ensures sustainability, accountability, transparency, and long-term institutional stability, given the enormous potential of cooperatives as drivers of socio-economic transformation within the built environment.
“Under this reform initiative, we are pursuing several strategic interventions designed to strengthen cooperative institutions and unlock their development potential. The bank will create opportunities for affordable cooperative housing finance and long-term housing development support,” he said. Other benefits include access to cooperative mortgages, financing for housing estates and community development projects, financial inclusion for informal sector workers, cooperative infrastructure financing, women and youth housing empowerment schemes, and inclusive access for Persons with Disabilities (PWDs).
Strategic Movement for Housing Deficit
“CHOSA Africa 2026 is not merely another conference, but a strategic movement designed to reposition cooperative housing as a sustainable, inclusive and people-centred solution to Africa’s growing housing deficit. Housing financing provides one of the most practical pathways towards achieving this goal,” he added.
