The Managing Director of Federal Mortgage Bank of Nigeria (FMBN) Gimba Ya’ Kumo, has revealed that the federal government has wrapped up all the necessary arrangements to recapitalize the apex mortgage bank to the tune of N250 billion.
The bank, which generates N2.4 billion monthly from over four million contributors to the National Housing Fund (NHF), has been impaired by its low capital base which has for long remained a clog in its wheels.
Kumo, who spoke with reporters at a dinner organised by the bank for its outgoing executive directors on Monday night, February 2, noted that although time was of the essence with regards to the recapitalization, the government has given its full assurance that the bank will soon be recapitalised with N250 billion.
The FMBN Boss said: “We have been promised that as soon as possible that would be concluded. What I have requested for is N250 billion even though we know that there are a lot of competing needs of government like security education roads. I’m confident that very soon the bank will be recapitalised.”
He also said the bank has made progress in reabsorbing the six states that have not been contributors to the NHF scheme, adding that the government is making conscious efforts to cut down on the cost of housing through the introduction of new building technology and reduction in building materials.