The Federal Mortgage Bank of Nigeria (FMBN) is gearing up to support the construction of student hostels and staff quarters for university personnel as part of its new loan initiative. This announcement was made by FMBN’s Managing Director, Mr. Shehu Osidi, during the 2024 FMBN Management Retreat held on Monday.
The retreat, themed “Improving Efficiency and Customer Service Delivery for Developmental Impact,” serves as a platform for discussing the bank’s strategic goals. Osidi revealed that FMBN plans to sign a Memorandum of Understanding (MoU) with Shelter Afrique Development Bank to explore new funding avenues for projects such as rental housing and student hostels.
FMBN manages the National Housing Fund (NHF), which collects contributions from Nigerian workers through a 2.5% salary deduction. Osidi highlighted that by investing in student hostels and staff quarters, FMBN aims to engage students while they are still in school, preparing them for their future roles as contributors to the NHF.
Under the Federal Ministry of Housing and Urban Development’s Renewable Agenda, FMBN has also signed an MoU with a consortium of developers in a public-private partnership to secure funding for housing projects. FMBN has allocated ₦100 billion to this initiative, which will enable the consortium to access additional financing. FMBN will then provide mortgage finance to beneficiaries once the houses are built.
Osidi emphasized that the bank is focused on building and nurturing partnerships to enhance its reach and impact in delivering affordable housing. He also noted that FMBN is addressing legacy issues related to service delivery and efficiency. The aim is to expedite loan approvals and improve customer service.
The retreat aims to identify and overcome the challenges facing FMBN, such as delays in loan processes and other operational issues. Osidi encouraged staff to be innovative and solution-oriented, and to commit to enhancing the bank’s efficiency and customer service.
He concluded by urging the team to critically assess the bank’s progress and implement strategies to address pain points and improve overall performance.
