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FMBN targets 100,000 houses, unfolds new strategic plan

By Cornelius Essen, Abuja
22 August 2022   |   2:45 am
The Federal Mortgage Bank of Nigeria (FMBN) has concluded arrangements to expand the housing stock by financing a cumulative of 100,000 housing units and growing mortgages to N712 billion in 2024.

Federal Mortgage Bank of Nigeria (FMBN)

The Federal Mortgage Bank of Nigeria (FMBN) has concluded arrangements to expand the housing stock by financing a cumulative of 100,000 housing units and growing mortgages to N712 billion in 2024.

In addition, the Bank’s Board has approved a five-year strategic plan covering the period of four years, focusing on certain key performance indicators that include increasing the National Housing Fund (NHF) contributions to N285 billion yearly.

The Chairman, Board of Directors, Mr. Ayodeji Gbeleyi, who revealed this at the 2022 Board/Management Retreat in Abuja, said the foregoing would be pivotal towards bridging the gap in homeowners rate in the country.

Gbeleyi also stated that Nigeria’s homeownership is about 25 per cent, which is much lower than contemporary countries such as Brazil (74 per cent), Kenya (75 per cent), South Africa (70 per cent), Indonesia (84per cent) and Malaysia (77 per cent), respectively.

He said mortgages take the lead as the preferred means for owning a home in countries like the United Kingdom, United States, France and others. “It is rare to find buyers paying outright for apartments using savings,” he said.

Earlier, FMBN Managing Director, Mr. Madu Hamman, observed that the country has witnessed high inflationary trends driven by energy and food prices, local currency value devaluation, and incidences of insecurity, among others.

Hamman said: “The need to re-calibrate and refocus the strategic direction for the bank is driven by two factors, to re-align its strategic targets in the light of prevailing economic, financial and social realities shaped by the shock global pandemic.

The second is to re-configure the strategy document to incorporate the vision and focus on the new leadership in implementing Mr. President’s mandate for affordable housing delivery to Nigerians, especially, low and medium-income earners.”

He, therefore, hopes that the discussions and brainstorming by the stakeholders will lead to insightful, productive, and pragmatic solutions that will result in a positive impact for the institution and the nation at large.

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