Cement Prices Jump 53% Despite Tinubu’s Housing Reforms, Fueling Rent Crisis Nationwide
write (By SpringnewsNG Media Limited, July 8, 2025):
Nigerians are raising alarm over the soaring price of cement across the country, despite repeated promises by major manufacturers such as Dangote Cement, BUA, and Lafarge to reduce costs in support of President Bola Tinubu’s housing reforms.
Recent market checks reveal that a 50kg bag of cement is now being sold between ₦9,500 and ₦12,000, depending on the location, with Abuja and other major cities recording some of the highest rates. This represents a 28% to 53% increase compared to the ₦7,800 price per bag briefly recorded in March 2025, after a nationwide intervention by the Federal Government.
The spike has sparked widespread concern, especially as cement manufacturers had in May 2025 vowed to lower prices to support the Renewed Hope housing initiative. However, the market reality remains harsh, causing ripple effects on housing construction and rental costs.
Speaking to SpringnewsNG, real estate stakeholders and residents lamented the situation, describing it as unacceptable and economically harmful.
“It is painful that Dangote did not replicate his supposed fuel reduction strategy in the cement sector,” said Benjamin Udoka, a concerned stakeholder. “In parts of Abuja, a 50kg bag of cement is sold for as much as ₦11,000. This has drastically driven up house rents, and the federal government must act fast to control prices.”
Maryam Abubakar, a resident of Dawaki, echoed similar sentiments, stressing that many Nigerians can no longer afford basic accommodation due to skyrocketing rents.
In an exclusive interview, former National President and current Board of Trustees member of the Real Estate Developers Association of Nigeria (REDAN), Aliyu Wamakko, blamed the worsening situation on poor engagement between the federal government and cement producers, rising demand, and the absence of price regulation.
“Cement is now being used not only for buildings but also for road construction, further increasing demand,” Wamakko explained. “About 70% of the raw materials used in producing cement are sourced locally, so the price should be lower.”
He warned that without government intervention through engagement and regulation, cement prices would remain high, continuing to drive up the cost of housing and rent across Nigeria.
Wamakko called on the Tinubu administration to revisit earlier negotiations with cement manufacturers that briefly reduced prices to ₦7,000 per bag and advised that cement be reserved strictly for housing while alternative materials be used for infrastructure development.
The inflationary pressure has had a tangible impact. For instance, in Gwarimpa, Abuja, rent for a self-contained apartment has skyrocketed from ₦700,000 to ₦1.5 million annually—more than double within a year.
Efforts to reach the Dangote Group’s spokesman, Anthony Chiejina, were unsuccessful. Similarly, the Federal Competition & Consumer Protection Commission (FCCPC) did not respond to inquiries.
Although the National Bureau of Statistics (NBS) recently reported a drop in Nigeria’s headline inflation to 22.97%, the high cost of cement and building materials continues to defy that trend, pushing housing beyond the reach of ordinary Nigerians.
The federal government’s 3,112-unit housing project, initiated in February 2024 under Housing Minister Arc. Ahmed Musa Dangiwa, remains stalled, further dashing hopes of affordable housing.
Meanwhile, a probe by the Nigerian Senate into the ongoing cement price hike, launched in 2024, has yielded no concrete results.
Written by SpringnewsNG Media Limited
Contact: +2347039490464 | Date: July 8, 2025
