In a bid to bolster affordable housing initiatives in Nigeria, the Federal Mortgage Bank of Nigeria (FMBN) and Shelter Afrique, an international development bank, have raised their collaboration efforts. This move seeks to provide crucial construction and mortgage financing to developers across the country.
Shehu Osidi, the managing director of FMBN, at a press briefing held at the FMBN headquarters in Abuja, revealed plans by the bank to reinvigorate a previously abandoned memorandum of understanding (MoU) with Shelter Afrique. Nigeria, the second-largest shareholder in Shelter Afrique after Kenya, aims to maximize the benefits from this partnership.
Osidi expressed concerns over the significant capital tied up in numerous abandoned projects financed by FMBN nationwide. He cited instances where the bank entered into partnership with state governments, only to face delays in the provision of promised infrastructure.
Leveraging the partnership with Shelter Afrique, FMBN intends to expedite the completion and delivery of these projects to potential buyers.
Thiermo-Habib Hann, the managing director of Shelter Afrique, affirmed the bank’s commitment to Nigeria. He pledged to revisit and surpass previous agreements and discussions with FMBN. Hann emphasized Shelter Afrique’s readiness to collaborate with various institutions across Nigeria to tackle the housing deficit effectively.
“We are prepared to work closely with FMBN and other stakeholders in Nigeria to address the housing gap. The challenges are evident, but so are the opportunities. As a development finance institution, Shelter Afrique is well-positioned to partner with the Nigerian government,” Hann said.
During their engagements in Nigeria, Shelter Afrique’s leadership met with key officials, including the Kashim Shetima, the vice president, signaling a shared commitment to drive growth in the housing sector. Hann underscored the transformative potential of investing in housing, citing its capacity to generate employment and enhance security across the country.
The intensified collaboration between FMBN and Shelter Afrique reflects a concerted effort to tackle Nigeria’s housing challenges and stimulate socio-economic development.
It is also aimed to provide construction and mortgage financing to developers, addressing abandoned projects and housing gap.
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