The Federal Mortgage Bank of Nigeria (FMBN) has pledged its support for the “Renewed Hope Cities and Estates Programme” with a N100 billion off-taker guarantee. This initiative aims to deliver 100,000 affordable housing units across the country.
The announcement was made by the Managing Director/Chief Executive of FMBN, Shehu Usman Osidi, during the maiden edition of the Nigeria Police Housing Summit in Abuja. Osidi, representing the Minister of Housing and Urban Development, Ahmed Dangiwa, highlighted the bank’s commitment to facilitating homeownership for Nigerians.
The N100 billion off-taker guarantee serves as a financial safety net for developers involved in the “Renewed Hope” program. It assures them that FMBN will buy unsold completed houses, mitigating potential risks. This financial backing is expected to incentivize developers and expedite project completion.
Furthermore, FMBN will provide mortgage loans to interested buyers upon house completion. This two-pronged approach addresses both the supply and demand sides of the affordable housing market.
The “Renewed Hope Cities and Estates Programme” targets a nationwide audience. The expectation is that a significant portion of the houses will be allocated to members of the Nigerian Police Force. Easy access to mortgages is likely to make homeownership a reality for many police officers.
This initiative aligns with the national goal of transforming Nigeria into a “major construction site.” Increased construction activity is expected to generate employment opportunities and stimulate the economy. The FMBN’s N100 billion guarantee is a significant step towards making the “Renewed Hope” program a success and fostering a more inclusive housing market in Nigeria.
