Abuja — Efforts at boosting economic integration between Nigeria and the Republic of Chad have started yielding dividend, as an indigenous construction firm based in Nigeria, over the weekend won the bid to construct 50,000 housing units in Chad at a cost of $1.2billion.

The housing project, which would be in the categories of one, two, three and four bedroom apartments is to be spread across all the provinces of Chad .

The contract was awarded to Exhimab Integrated Link Limited owned by Ahmed Tijani Umar, a Nigerian and it's expected to commence in July 1, 2010 with a completion time frame of 2013.

The Chadian government said it is one out of the country's many welfare plans to ensure that its citizenry benefit from its crude oil windfall.

Recently, Idriss Deby, President of Chad, promised massive development through the crude oil windfall that will benefit all citizens.

The terms of the Memorandum of Understanding (MOU) signed by both parties, indicate that the Nigerian firm is expected to provide 80 per cent of the funds by receiving international guarantee from the Chadian government, while the government of the Republic of Chad would provide the remaining 20 per cent counterpart funds, including the land for the construction. Part of the contractual agreement includes a form of tax holiday and waiver on building materials that would be imported into the country by the Nigerian company.

The MOU was signed by Ahmed Tijani Umar on behalf of Exhimab and the Minister of Housing, and Regional Development, Djimrangar Dadnadji for the Chadian government.

The responsibility of the Chadian government, according to the MOU, would include the provision of land, 20 per cent financing and administrative support needed for the success of the programme.

The government will provide the plots of land and contribute at the rate of 2 per cent for the programme's implementation.