FMBN to disburse N42m Home Renovation Loan to Bwari council staffers

The Federal Mortgage Bank of Nigeria (FMBN), FCT says it is set to disburse N42 Million to the second batch of Home Renovation Loan (HRL) scheme beneficiaries at Bwari Area Council, Abuja.

Mrs Felicia Aningo, FMBN, FCT Coordinator, told the News Agency of Nigeria, (NAN) on Monday in Abuja, that the HRL loan has already been approved for the council staffers.
According to her, provision of house renovation loan to beneficiaries is an alternative means of solving housing challenges in the country.
HRL, being a new product of FMBN, was introduced to allow more National Housing Fund (NHF) contributors access the fund, because not everyone was able to have access to the NHF to build or own houses.

“Forty-five applicants are to benefit from the approved sum of N42,085,000.00 under the HRL scheme,” she said.

On the turn up of contributors in the FCT, she said that only Bwari area council, where the bank inaugurated its first disbursement benefitted from the loan scheme because they have been contributing to the scheme.

“The other area councils were all contributing at first before they stopped.

“Abuja Municipal Area Council (AMAC) is almost back and we receive calls now from some others that they want to come back to the scheme.

Speaking on why they left the scheme, she attributed it to the general agitation by Nigerian workers during former Gov. Adams Oshimhole’s tenure as NLC leader.

“That was revised long ago by the NLC and other trade unions and they return to the scheme. Most states have also come back with their local government areas.

“While some are yet to come back and that is why we are appreciating them by granting them loans.

She, however, urged other councils to emulate Bwari council and key into the scheme for the benefit of their staff and to reduce housing difficulties.

Aningo emphasised that the Act that put the NHF in place also made the contribution compulsory for the employer to deduct 2.5 per cent of their employees’ basic salary monthly and remit to FMBN.

She explained that the money generated from the monthly contributions was used for the creation of a pool of fund from where contributors would borrow to build, buy or renovate their homes.

The HRL affords Nigerians an opportunity to access mortgage loans of N1 million for renovation or improvement of their existing homes.

FMBN, FCT branch had on March 23 disbursed N27.6 million loans to first batch of 29 civil servants in the council that benefited from the HRL scheme.