Published on September 19, 2019By CHIKA OKEKE

The Federal Mortgage Bank of Nigeria (FMBN) has pleaded with the federal government to inject N500 billion as recapitalisation fund into its coffers, for enhanced service delivery to Nigerians.

The executive director, business development and portfolio management, FMBN, Mr Umar Dankane stated this in Calabar yesterday during the bank’s Southern zonal retreat, with the theme “Motivating the Informal Sector to Embrace the National Housing Fund Scheme.’’

He noted that for the mortgage market to excel in Nigeria, that there is an urgent need for the federal government to recapitalise the bank with N500 billion.

According to him, “The crucial challenge facing the bank is its capital base, so the bank is yearning for government’s rescue through recapitalisation”.



He pointed out that the bank was initially created with a capital base of N5 billion and being the famous secondary mortgage market, that it could no longer operate from the realities on ground.

The executive director lamented that the Primary Mortgage Bank’s (PMB’s) currently has N5 billion capital base and wondered why FMBN, being the only secondary mortgage institution in the country still operates on N5 billion capital base.



This he said was reason, the new management team decided to review its operation and requested that federal government should recapitalise the bank with N500 billion.

He was optimistic that if achieved, that Nigeria’s mortgage market would excel, saying that the fund would provide affordable houses for workers.

Dankane hinted that the bank is working assiduously towards reducing the housing deficit, by ensuring improvement in Nigeria’s housing stock.

He disclosed that the primary function of the bank is to provide affordable housing to workers, saying that the bank issues housing loans of 6 percent interest rate to National Housing Fund (NHF) contributors, considered as lowest in the country.



Dankane emphasised that the bank is working with developers and all relevant stakeholders in providing solutions to workers’ housing deficit.

Their are alternative funding,that will cost less than 2% workers.The money is available for accessing if they contact us for partnership only