FG targets improved FDI in housing with N21bn investment

The Federal Government has said that it is targeting improved foreign direct investment (FDI) as well more local investments in the nation’s housing sector and the economy as a whole with its newly unveiled investment plans for housing totalling about N21 billion.

This investment drive and initiative includes N13 billion which will serve as a “commitment” to mortgage refinance investment as well as N8 billion initial bond issuance, the proceeds of which have been fully utilised in refinancing mortgage investments.

This disclosure was made by the Minister of Finance, Kemi Adeosun, when commenting on some of the FG’s investment plans, recently.

According to her, the N13 billion mortgage refinance investment commitment by the NMRC, is coming on the heels of its N8 billion initial bond issuance, the proceeds of which have been fully utilised in refinancing. Adeosun, therefore expressed the hope that the sundry housing development initiatives of the government should send signals to investors at local and international environments that significant opportunities abound in the Nigerian housing sector for investment.

In furtherance of its sustained efforts to offset housing deficit in the country, the minister further disclosed that the FG had launched a N13 billion Federal Civil Servants Mortgage Refinancing Scheme by the Nigeria Mortgage Refinance Company Plc (NMRC).

Adeosun said that the initiative was informed by the increasing need to address the housing challenges being faced by ordinary Nigerians by the present administration. According to her, this is why the government earmarked N40 billion in the 2016 budget for the implementation of a comprehensive housing scheme, improve the living conditions and welfare of workers and people, and generate gainful employment for teeming unemployed youths.

“In line with our overall objective of providing the necessary stimulus to kick-start growth in the current challenging economic environment, today, we are proud to announce the scheme for the refinancing of mortgages for 5,635 beneficiaries of Federal Civil Service by the Nigeria Mortgage Refinance Company Plc,” she said.

She explained further that the scheme was a collaboration steered by the Office of the Head of Civil Service of the Federation, the Federal Government Staff Housing Loans Board (FGSHLB), the Federal Integrated Staff Housing Programme (FISH), and the Nigeria Mortgage Refinance Company Plc (NMRC).

She also disclosed that the Ministry of Finance had concluded arrangements to provide a complementary and sustainable Housing Market Finance ecosystem to address the challenges of affordable housing.