L
LequteMan
Guest
The President, Association of Professional Bodies of Nigeria (APBN), Mr Bala Ka’Oje, on Tuesday in Lagos has called for the recapitalisation of the Federal Mortgage Bank of Nigeria (FMBN) to N200 billion, because it would according to him, increase the capability of FMBN lending to housing developers.
“Commercial banks extension of credit facilities to housing developers at interest rate of between 20 and 22 per cent has been very cumbersome, especially in 2013.
“The FMBN Estate Development Loans (EDL) has been the saving grace and it is always available at 10 per cent interest rate.
“However, the problem is that FMBN is not having enough funding to be able to provide loans to all housing developers who need it.
“And all calls for FMBN to be recapitalised to the tune of N200 billion to enable it do more has not yielded result,” he said.
Ka’Oje said that FMBN Estate Development Loans were used for the construction of affordable houses which most workers in the states used to access the National Housing Fund (NHF) loan.
“Commercial banks extension of credit facilities to housing developers at interest rate of between 20 and 22 per cent has been very cumbersome, especially in 2013.
“The FMBN Estate Development Loans (EDL) has been the saving grace and it is always available at 10 per cent interest rate.
“However, the problem is that FMBN is not having enough funding to be able to provide loans to all housing developers who need it.
“And all calls for FMBN to be recapitalised to the tune of N200 billion to enable it do more has not yielded result,” he said.
Ka’Oje said that FMBN Estate Development Loans were used for the construction of affordable houses which most workers in the states used to access the National Housing Fund (NHF) loan.