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‘We’ve Delivered 30,077 Housing Units Worth N227.4bn Between 1992 And 2022’ -FMBN MD, Hamman

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The Managing Director of Federal Mortgage Bank of Nigeria (FMBN), Mr Madu Hamman has highlighted the institution’s activities towards addressing housing deficit and challenges in the country.

Hamman, who was appointed by President Muhammadu Buhari in April this year has been described as the right fit for the position given his pedigree in the banking sector in general and mortgage banking in particular.

In an interview with Vanguard, he outlined the strides the FMBN has achieved thus far while also laying out the plans of the institutions in order to make more houses available for Nigerians.

Giving an insight to the operations of FMBN, Hamman noted that the Bank does not grant loans to hire or rent a house but provides Construction Loan to those who want to build.

He added, “The requirements for accessing the loan are that one must be a Nigerian of at least 18 years and must have registered with the National Housing Fund Scheme and contributed for at least six months, have a verifiable means of income, a valid land title, preferably, a Certificate of Occupancy, which must be same as the name of the applicant, an approved building plan, while the construction work must be phased and documented in a work plan consisting of 30-30-40.”

He also explained that applicants under the National Housing Fund Construction Loan, they need to go through any Primary Mortgage Bank, PMB and not the FMBN directly.


Pressed on the successes recorded by the bank despite various challenges, Mr Hamman said, “From 1992 to June 2022, the bank has delivered 35,077 housing units at the cost of N227.49 billion, created 23,791 mortgages in the sum of N133.75 billion and disbursed the sum of N73.13 billion as Home Renovation Loan, HRL, to 89,257 beneficiaries nationwide.”

He also revealed that that Nigerians have not adequately taken advantage of include the Individual Construction Loan and recently introduced Non-Interest Rent-to-Own product while calling on more sensitization of the public towards these products.

In terms of figures spent over the past 10 years on housing provision in the country, the FMBN MD said, “The total amount expended by the Bank from 2010-2020 was N201, 423,600,792.62.

“This amount was expended in the areas of Estate Development Loan (N46.656 billion), Home Renovation Loan (N30.153 billion), Ministerial Pilot Housing Scheme (N19.409 billion), NHF Mortgage (N88.562 billion), Cooperative Housing Development Loan (N8.154 billion) and Public Private Partnership (N5.499 billion). As of 2020, FMBN has funded the successful delivery of 28,550 housing units.”

He however said that the operations of FMBN is confronted by two major challenges.

“One is the inadequate capital base to create and accommodate the increasing need for mortgages by our stakeholders, and two, the need for repeal of the National Housing Fund Act and FMBN Act for a stronger NHF Scheme, which will be in tandem with the prevailing economic realities of the 21st century,” he added.

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