FMBN to recoup N43bn housing loan, says N5.4bn recovered in 2yrs

THE Federal Mortgage Bank of Nigeria (FMBN) has unfolded plans to recoup N43billion housing loan debts from its debtors within the next 18 months.

It said so far, it has been able to recover over N3billion in 2018 in addition to the initial N2.4 billion recorded in 2017.

The bank’s Managing Director, Ahmed Dangiwa who made the disclosure at the 2018 Annual Management Retreat themed“Improved Transaction Turnaround Time: Getting it Done,” held in Kano said this was in line with its loan recovery drive.

The MD stated that already, the bank  is working in partnership with the Special Presidential Investigation Panel for the Recovery of Public Property; “in a move that is likely to recoup N43billion from the Bank’s debtors within the next 18 months.”

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He maintained that the Bank was strengthening its collaboration with its key stakeholders, especially the labour unions, whose members constitute the bulk of contributors to the National Housing Fund Scheme.

“This has culminated in the commencement of a need-targeted housing delivery program across the country – the National Affordable Housing Delivery Programme (NAHDEP) for Nigerian workers, in collaboration with the Nigeria Labour Congress (NLC), the Trade Union Congress (TUC) and the Nigeria Employers’ Consultative Association (NECA).

“Groundbreaking ceremonies have been done and construction work has commenced in earnest in five states, spread across the six geopolitical zones of the country. Others are in the pipeline as we intend to cover every State across the country. Part of the central focus is to establish a template for affordable housing delivery in Nigeria.

“Accordingly, the implementation concept is unique with the housing designs and bill of quantities (BoQ) directly commissioned by the Bank to ensure the profit motive is greatly minimised. This template has given us the leverage to guarantee that the selling prices for the housing units range between N3.1m and N8.3m for 1, 2 and 3 bedroom dwellings,” he said.

Dangiwa further noted progress in its strategic plan to reform and reposition the Institution as a more effective provider of safe, decent and affordable housing for Nigerians despite many challenges.

He revealed that after twelve years of failed attempts at institutional restructuring, Management’s proactive stakeholder engagement drive has resulted in the successful passage of key amendments to the Laws establishing the Institution and the National Housing Fund (NHF) by both chambers of the National Assembly.

According to him, the amended laws when assented to by the President would birth a new, more independent and financially stronger FMBN with a robust capital base of N500 billion.

He added that additional liquidity and operational flexibility will greatly enhance FMBN’s capacity to more effectively deliver on its mandate to provide access to affordable mortgage finance for home ownership by Nigerian workers.