…….We would deliver our ministerial deliverables to make housing ministry proud – MDs FHA, FMBN.
Minister of Housing and Urban Development Arc. Ahmed Musa Dangiwa has charged the leadership of the Federal Mortgage Bank of Nigeria (FMBN) and Federal Housing Authority (FHA) to be more creative and innovative in order to achieve their ministerial mandate.
Dangiwa gave the charge during the formal performance review meeting with the Management Teams of the agencies; the Federal Mortgage Bank of Nigeria (FMBN) and the Federal Housing Authority (FHA).
The performance review meeting was aimed at enhancing performance in achieving the mandate of the ministry as it relates its ministerial deliveries inline with the performance contract agreement.
At the review meeting, the leadership of the FMBN and FHA presented their ministerial deliverables in line with the Performance Management System reform of the Office of the Head of the Service of the Federation and will be signing the Performance Contract with the Minister.
Minister Dangiwa recalled the charge he gave the two agencies upon their appointment by President Bola Ahmed Tinubu earlier this year to be creative, innovative as well as transformative in order to enhance their performances.
The FHA was charged to come up with innovative ideas, explore avenues to source funds that could help them deliver millions of housing units in the next 50 years as against the 50,000 it has provided over the past 50 years.
Similarly, the FHA was charged to go to the capital market, issue bonds and raise funds to deliver mass housing project nationwide, as well as market the houses, thereafter repay the loans and also declare profit.
He warned that lack of funds would not be an excuse fior FHA not to meet up on its ministerial deliverables, advising that they visit the FMBN and leverage on inter-agency collaboration for construction loan.
To the FMBN, the Minister reminded the team of his emphasis on innovation and transformation, saying that the bank must lead a new era of massive housing development and delivery, notwithstanding the challenging times of high construction costs and lower incomes; “This requires a radically new mindset, thinking outside the box, and identifying the opportunities these challenges present”, he stated.
On ongoing projects handled by the FMBN, Dangiwa gave a warning that the ministry will not tolerate abandoned and uncompleted projects, while seeking for approval for the new ones.
“Better know that we will not allow you to create more projects without completing the existing ones,” he said.
Dangiwa emphasised that the completion of abandoned project is key to the bank’s accomplishment, noting ” when you complete them, invite us to commission them they will add to your deliverables.”
The Minister stated his expectation for FMBN to push strongly for legislative amendments to relevant housing industry laws, including the National Housing Fund (NHF) Act, 1992, and the Federal Mortgage Bank of Nigeria (FMBN) Establishment Act, 1993.
He also urged the team to work on the long overdue digitalization of its entire product and service portfolio, pointing out that the world is in an era where Nigerians should be able to register and subscribe to the National Housing Fund (NHF) Scheme, and apply for FMBN products such as home renovation loans and individual construction loans.
While acknowledging the current inflation in the country, the minister advised the housing agencies to rescope their buildings by leaving out the non essentials fittings like tilling and PoP as it will not only save cost but make them affordable for Nigerians to buy.
Accordingly, the Minister expressed readiness in providing the necessary leadership to help the agencies achieve their mandates, this according to him was demonstrated when he spoke to the leadership of Shelter Afrique Development Bank (ShafDB) to meet the agencies in order to explore partnership opportunities and funding sources.
Dangiwa further itemized the targets set for the both agencies, for the FMBN: the delivery at least 5,000 new homes annually, with a significant portion through the Renewed Hope Cities and Estates Programme, disbursement of mortgage loans to at least 20,000 Nigerians annually, requiring quicker turnaround times and more efficient customer service, increase in National Housing Fund (NHF) collection by expanding the subscription net to include more Nigerians.
Others are speedy roll out of the Diaspora Mortgage Scheme to facilitate an increase in NHF collection and provide more houses to Nigerians and Maintenance of an up-to-date audited accounts and corporate stability to facilitate fruitful cooperation with financing institutions like Shelter Afrique Development Bank.
And for the FHA, demonstration of more flexibility and innovation in operations, obtaining more funding from the capital market by issuing bonds to deliver mass housing projects across the country, market them, repay the loans, and declare profit, delivery of a minimum of 5,000 houses annually to Nigerians.
Other targets for the FHA are to make judicious use of its license to operate across all income segments in the government’s broad strategy to deliver housing to Nigerians, as well as taking advantage of its status as an agency without budgetary allocations to be inventive, partnering with credible investors and local and international financing partners to deliver more houses to Nigerians.
Knowing the importance of ministerial deliverables in relation to the performance contract, the Mnister later directed the Planning, Research and Statistics department, PRS, of the ministry to engage the agencies on a quarterly basis so as to ensure they are not deviating from their ministerial deliverables.
He also mandated the Central Delivery Coordinating Unit (CDCU) of the ministry to meet with FHA team in order to guide them so that they will know what is expected of them before the signing of the Performance Contract.
“The Ministry will keep track and monitor your progress on a year-to-year basis; your KPIs are the only things that matter because we have a responsibility to Nigerians, and we cannot afford to fail”, he stated.
Presentating his agency’s deliverables, the MD, Federal Housing Authority, Hon. Oyetunde Ojo, noted that FHA has an ongoing direct construction of 336 housing units and one office at the Bwari Area Council of the FCT, as well as 820 housing projects under a private public partnership (PPP) and direct construction, at the Apo/Guzape area of the FCT, informing that the agency would be ready to commission about 1000 houses by December, 2024.
He also spoke about the deployment and operationalization of Enterprise Content Management System (ECM), informing that there are 350 staff with licensed access to ECM, and 50 staff being provided with official laptops.
On his part, the MD FMBN, Alh Shehu Usma Osidi, enumerated some of the targets and deliverables of the bank, saying that the bank has delivered 810 and 741 housing units respectively, for the first and second quarters of year 2024 out of the quarterly target of 1,800 units. He also stated that the Bank intends to complete ongoing projects simultaneously with new ones in the third quarter.
Alhaji Osidi further mentioned other deliverables to include; 3,674 persons benefitting from the mortgage loans, establishment a National Mortgage Registry and the commencement of the digitalization of the bank’s products.
The Managing Directors FMBN and FHA, Dr.Usman Shehu Osidi and Hon Oyetunji Ojo, respectively, assured the Minister of doing their utmost best to deliver on their mandates and ministerial deliverables, saying they will make him proud.
Badamasi Salisu Haiba
Director Information and Public Relations
