By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
Africa Housing NewsAfrica Housing News
Notification Show More
Aa
  • Home
  • News
  • Real Estate News
  • Nigeria Property News
  • Join Us
    • About Us
    • Contact Us
    • Join Us
Reading: Bridging Affordability Gap Will Deepen Mortgage Market- FMBN
Share
Aa
Africa Housing NewsAfrica Housing News
  • Home
  • News
  • Real Estate News
  • Nigeria Property News
  • Join Us
Search
  • Home
  • News
  • Real Estate News
  • Nigeria Property News
  • Join Us
    • About Us
    • Contact Us
    • Join Us
Have an existing account? Sign In
Follow US
Africa Housing News > Blog > Mortgage News > Bridging Affordability Gap Will Deepen Mortgage Market- FMBN
Mortgage News

Bridging Affordability Gap Will Deepen Mortgage Market- FMBN

Fesadeb
Last updated: 2019/07/27 at 8:53 PM
Fesadeb Published July 27, 2019
Share
SHARE

The Federal Mortgage Bank of Nigeria (FMBN) has revealed that bridging the affordability gap created by low disposable income and high housing delivery costs would deepen the mortgage market.

The managing director/ chief executive officer of Federal Mortgage Bank of Nigeria (FMBN), Arc Ahmed Dangiwa stated this in Abuja yesterday during the CEO forum on ‘Democratising Mortgages, the FMBN Model’, on the sidelines of the ongoing 13th Abuja International Housing Show (AIHS), organised by FESADEB communication limited.

He said that more than half of Nigeria’s estimated population of 198 million live on less than $1 per day, adding that though the yet to be implemented national minimum wage rose from N18, 000 to N30, 00, that inflation rate remained high and currently at 11.6 percent.

Dangiwa who was represented by FMBN’s General manager of strategy and percormane management group, Mr Fakeye Oladipo pointed out that new housing construction remained limited in supply and expensive for middle and lower income households.

He disclosed that liquidity and funding gaps for construction and mortgage financing, sector de-risking to attract investments and improving funding capacities of mortgage institutions are crucial issues to be addressed in the mortgage industry.

On macro-economic challenges, he pointed out the need to address high interest rate regime, high inflation and foreign exchange challenges.

Oladipo disclosed that FMBN’s role is to link the mortgage finance market with the capital market and develop a viable secondary mortgage market, promote the growth of viable mortgage loan originators, mobilise domestic and foreign funds into housing finance sub-sector as well as collect, administer and manage the National Housing Fund (NHF).

The MD stated that the bank has a unique advantage in driving affordable mortgage financing in Nigeria through government sponsored entity, provision of low cost fund, of which teo percent will be paid on NHF contributors.

He asserted that the bank’s target is to grow mortgages through the public service, informal sector and diaspora, which he said has huge appetite and resources for local and foreign investment.

The GM maintained that the bank is collaborating with national labour centres like the Nigerian Labour Congress (NLC), Trade Union Congress (TUC) and Nigeria Employers’​ Consultative Association (NECA) in implementing the National Affordable Workers Housing Scheme (NAWHS).

He added that the bank is also partnering with Head of Service of the Federation (HoS) for housing delivery for federal public servants, paramilitary organisation likewise cooperative societies in the informal sector.

Oladipo noted that despite the enormous challenges on affordable housing finance, that revamping the Nigerian mortgage sub-sector required collaborative approach from sector players like the regulators, national and state assemblies, Central Bank of Nigeria (CBN), as well as housing ministries at Federal and states.

The GM was optimistic that the bank is developing multi-dimensional housing solutions through home ownership, rental housing, home renovation and housing micro-loans.

Source: leadership

You Might Also Like

FG Rolls Out Housing Scheme to Retain Doctors Amid “Japa” Crisis

U.S. Mortgage Applications Decline for Third Consecutive Week Amid High Rates

HDAN Hails Shehu Osidi @ 60: A Man of Vision

AG Mortgage Bank Hands Over 100 Housing Units of Grandlovo Estate to NSCDC Personnel

Nigeria @64: Assessment of Mortgage Institutions in Nigeria

Join Our Whatsapp Group

Contact Image

Join Our WhatsApp Channel

Housing TV Africa is the First Housing News Television
in Africa on Startimes Channel 149 bringing you
Housing News, Mortgage News, Construction News etc

Fesadeb July 27, 2019 July 27, 2019
Share this Article
Facebook Twitter Email Print
Leave a comment

Leave a Reply

Your email address will not be published. Required fields are marked *

© Africa Housing News. All Rights Reserved 2024

Welcome Back!

Sign in to your account

Lost your password?