The Federal Mortgage Bank of Nigeria is a special bank that the federal government created to provide housing loans so people can own their own homes.

The bank was established in 1956 and since then it has given out housing loans, (mortgages) worth 80 billion naira.

This was disclosed by the Managing Director of the bank, Mr Ahmed Dangiwa during an inauguration of NHF backed housing scheme in Abuja.

The figure shows a 10.4% increase in mortgage origination in one year, as the bank had in July 2017 stated that it had disbursed 72.47 billion naira to about 17,260 homeowners under the National Housing Fund.

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Dangiwa said the bank had created various initiatives to provide housing stocks for the low and medium income earners in the country.

He stated: “The FMBN has gone a long way so far and has created up to 80 billion-naira mortgages since inception with more than 20,000 housing stocks for the low and medium income earners. If you give these houses to developers, the prices will not be the same, because cost of finance influences the prices of buildings.

“If developers get credit from financiers with up to 20% interest and add that to the cost of development, the prices of houses will definitely increase. But we got this land for free and funding is minimal, all these are in order to make it affordable to contributors of the National Housing Fund.”

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