ABUJA, Nigeria (VOICE OF NAIJA)- The Federal Government has approved an increase in housing loan limits for civil servants, with permanent secretaries now able to access up to N25m.
According to a memo from the Office of the Head of Civil Service of the Federation, officers on Grade Level 8 are now eligible for a maximum of N8m.
The memo, signed by the Head of Civil Service of the Federation, Didi Walson-Jack, stated that the decision is part of the government’s efforts to enhance the welfare and well-being of federal employees.
Addressed to the Chief of Staff to the President, Femi Gbajabiamila; the Secretary to the Government of the Federation, George Akume; ministers; permanent secretaries; service chiefs; and chairmen of federal commissions, the memo urged interested civil servants to follow all procedural guidelines.
“In line with the Federal Government’s commitment to enhance the welfare and well-being of its workforce, the ceiling for housing loans provided under the Federal Government Staff Housing Loans Board has been reviewed upwards,” the memo stated.
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“This review is intended to enable eligible and interested civil servants to better leverage the loan facility to acquire personal residential homes in alignment with the government’s housing policy.”
Under the revised structure, permanent secretaries can access up to N25m, Level 17 officers are entitled to N14m, while those on Levels 15 and 16 can receive a maximum of N12m.
Officers on Levels 12 to 14 can obtain N10m, those on Levels 8 to 10 can get N8m, Levels 5 to 7 can access N6m, and Levels 3 to 4 can receive up to N5m.
Before this review, the highest-ranking civil servants could only access a maximum of N15m.
The memo also clarified that repayment will span up to 25 years, depending on the applicant’s age.
Retirees who leave service before completing repayment are required to settle outstanding balances from non-salary sources as directed by the government.
It further stated that in the event of a borrower’s death before full repayment, the board may take possession of the mortgaged property unless the deceased’s representatives make satisfactory repayment arrangements.
Reacting to the development, a former National President of the Association of Senior Civil Servants of Nigeria and ex-officio member of the union, Tommy Etim, described the review as a welcome and long-overdue measure.
He said, “We met with former President Muhammadu Buhari a few years ago on the need to raise the loan ceiling so it could be more meaningful and accessible to all civil servants. Before now, the amount was so low that even some senior officers could only access about N5m.
“What you can access now is based on your annual income. The ceiling for each level is calculated according to each cadre’s income, so it’s relatively fair.”