SAN FRANCISCO, November 12, (THEWILL) – The Federal Mortgage Bank (FMBN) has stated that it had so far disbursed N265bn to subscribers under the National Housing Fund.
The Managing Director of FMBN, Ahmed Dangiwa, said the cumulative disbursement of N265bn represented an increase of about N112bn or 74 per cent over the N152.5bn which the current management met in 2017.
Dangiwa, who spoke at the 2020 Housing Summit in Abuja, stated that within the last three years, about 8,700 new homes had been added, a growth of 43 per cent, to attain a cumulative 29,133 funded housing units.
He also noted that within the three-year period, NHF collections grew by N186bn, representing 80 per cent, to reach a cumulative amount of N418bn as of September 2020 and that subscribers to the fund had increased to 5.1 million, as 570,000 new contributors had been added to the NHF scheme.
On the home renovation micro-loan, Dangiwa said the bank had been able to grow this by over 2,000 per cent from about 2,600 to 56,000 loans in the last three years.
In terms of subscriber base, the FMBN boss explained that about 570,000 contributors had been added to attain a contributor base of over 5.1 million NHF subscribers.
“The NHF scheme, established by Act 3 of 1992 was created to serve as a pool of long-term funds for housing delivery, funded by 2.5 per cent of workers’ monthly income and mandatory investments of percentages of the business portfolios of banks and insurance companies,” he said.
“Over the years, the loan products under the NHF scheme have been expanded to cater for the various needs of its contributors.
“Presently, the NHF provides fixed interest mortgages for home acquisition, an individual construction loan to aid self-development, a micro-loan for home renovation and rent-to-own.”
Dangiwa also said FMBN planned a review of the NHF Act to ensure mandatory investments by banks and insurance companies.
