SOURCE:

Faculty: Environmental Sciences
Department: Building

CONTRIBUTORS:

Ugochukwu, S.C;
Okolie, K.C;
Okoye, E;

ABSTRACT:

The performance of a housing budget is critical to housing delivery because it is the financial plan or instrument with which the government allocates financial resources and executes the housing infrastructure needs of the society. In spite of rapid urbanization and crucial role of housing in economic development and improving the living standards of the citizens, Anambra State’s public sector still grapples with poor planning, preparation, execution and monitoring of the housing budget, leading to poor performance and a negative impact on the successful implementation of housing projects. Hence, the need for a holistic approach that will enhance housing budget performance and improve housing delivery. The study therefore aimed at developing a model for effective housing budget performance in Anambra State, Nigeria. The study adopted a methodological triangulation, by combining field survey (questionnaires and interviews), literature review and archival budget data of 1999 – 2016; thus making it bespoke to this study. Purposive sampling was used to select the housing and budget professionals in Anambra State’s public sector from a population size of 295. Data was analysed using percentages, frequency, mean score, relative importance index, one-sample t-test, trend analysis, Pearson correlation and Granger causality test with the aid of SPSS version 22, MS-Excel and E-views econometric. Results showed a skewed housing budget allocation for the study period, inadequate housing needs assessment, insufficient time for budget preparation and non-adherence to the budget calendar, budget indiscipline, lack of criteria for stipulating annual housing budget ceilings and allocating annual housing budgets, lack of citizen participation, delays in release of funds, poor monitoring and supervision and undue political influence. The results further revealed that the housing budget is under-allocated with an annual average of 8.5% and poorly implemented at a rate of 26.6%, implying poor performance and a non-priority sector of the government. Finally, a housing budget performance model was developed as well as housing budget monitoring and review template. The study concluded that the housing budget performance model for Anambra State developed in this study will ensure efficiency and effectiveness, equity and objectivity, transparency and accountability in housing budget management. With this model and the monitoring and review template in place, performance can be tracked, the annual housing budget implemented appreciably and housing availability increased. The study has established a basic level of awareness among construction professionals, that at the macroeconomic level, public sector budgeting can be used as a tool for delivering strategic objectives of the housing-sub-sector in the construction industry. The study recommended amongst others; regular housing needs assessment, strengthening the capacity of the PRS departments and budget units of housing MDAs, early authorization, release and monitoring of housing funds, regular project monitoring, community based supervision and payment to contractors and adoption of the model and templates by housing and budget MDAs of Anambra State.