The Managing Director, Federal Mortgage Bank of Nigeria (FMBN), Ahmed Dangiwa, said institutional contributors, such as banks and insurance companies have failed to make their required investments in the National Housing Fund (NHF) scheme.
Dangiwa, who disclosed this in a presentation, when the Senate Committee on Lands, Housing and Urban Development, during its oversight visit to the bank, observed that this flagrant disregard of the law was a disservice to the people and the country.
He added the potential of their mandatory investment are quite significant to addressing the housing financing needs of citizens, saying, in 2016 alone, commercial banks had a combined loan portfolio of N15 trillion.
On the issue of compliance with the NHF Act, Dangiwa cited Kano and Oyo among the states of the federation that are yet to re-join the scheme by way of the deductions and remittances from states and local government employees.
Bka“With a new capital base of N500 billion of the bank, there will be improvement in corporate governance by inclusion of labour representatives on the Board. We want to be empowered to raise funds from both local and foreign capital markets.”