By Oluwaseun Sonde
The implementation of a 6-Point Strategy Plan is delivering historic improvements in the operations and impact of the Federal Mortgage Bank of Nigeria (FMBN)’s affordable housing delivery activities.
The FMBN Executive Management Team, whose five-year tenure is due to lapse on Friday 8th April 2022, stated this in a recent townhall meeting with staff, contained in statement released on Thursday.
The FMBN MD/CEO, Arc. Ahmed Musa Dangiwa, said that with the hard work and cooperation of staff the Management Team posted remarkable results across on corporate performance indices since assumption of office in April 2017.
He listed some of the notable achievements to include: The mobilization of N294.1Billion in additional contributions to the National Housing Fund (NHF) Scheme at an average of N58.8 billion per annum representing over 117% increase from the N232.8 billion the team met in April 2017.
"Disbursement of N175Billion in affordable housing loans and construction finance representing over 111% increase from the N152Billion the team met in April 2017. Results include provision of NHF Mortgage loans to 5,938 Nigerians, home renovation loans to 77,575 beneficiaries, and the delivery of 13,499 new homes.
"Speedy processing of N39.5Billion in refunds to 247,521 retired NHF contributors representing over 359% increase from the N10.8Billion the team met in April 2017. Development and commencement of N40billion FMBN Mega Cities project under the FG National Economic Sustainability Program (NESP) to deliver 5,000 housing units.
"Championing of initiatives that have made FMBN affordable housing products more affordable. This includes relaxed equity requirements of up to 30% to 10% for loans above N5m, and 0% for those below N5m while retaining single digit interest rate regime for personal loans
"And thereby promoting inclusiveness; creating innovative products such as the rent to own, individual construction, diaspora mortgage loan and non-interest mortgage and revamping the cooperative housing development loan products to ensure that more Nigerians can benefit from FMBN and
"Leveraging the power of technology to enhance transparency in the management of NHF operations. Straightening the huge backlog of unaudited financial statements dating back to 2013. Results: FMBN audited financial statements (AFS) for the Years 2013 – 2019 have been presented and cleared by the Board; the CBN has approved all the audited Financial Statements up to 2015 while the approval for 2016 – 2019 audited financial statements remain pending. The Year 2020 AFS is almost concluded, as it is currently going through final touches".
Arc. Dangiwa said the Bank was able to achieve these milestones by ensuring transparency and accountability in the management of the NHF scheme, engaging state governments to resume contributions to the NHF scheme and building strategic partnerships with labor centers such as the Nigeria Labor Congress (NLC), Trade Union Congress (TUC) and the Nigeria Employers Consultative Association (NECA).
He noted that the team drove an aggressive campaign that saw historic participation of the informal sector, the self-employed and cooperative societies in the NHF scheme leading to the addition of over 927,000 additional contributors to the NHF scheme.
FMBN Boss stated that a continued implementation of the 5-year Strategy Plan, developed in collaboration with Messrs. KPMG will lead to a positive turnaround for the Bank. The Strategy document is expected to run from 2020 – 2024 and aims to deliver 100,000 housing units, grow NHF annual collections from N50 billion to over N300 billion, expand the NHF customer base by 25 million new contributors drawn mostly from the informal sector to 31m.
He thanked the FMBN staff for their hard work and dedication and said that together they have succeeded in making a significant difference in the history of the Bank.
“We are happy to say that we came, we met you and we had a wonderful time working with you. When the history of FMBN is written, there will be sufficient facts and figures to give good testimonial of the work that we have accomplished with your support.
"Indeed, we have made a significant difference. As we move on, it is important to say that the work and the momentum must continue. Because despite our modest achievements, there is still so much more to do.” Arc. Ahmed Musa Dangiwa
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