FMBN partners NDIC on loans recovery

The Managing Director of Federal Mortgage Bank of Nigeria (FMBN), Ahmed Musa Dangiwa, has commended the Nigeria Deposit Insurance Corporation (NDIC) for supporting the recovery of the bank’s funds from distressed Primary Mortgage Banks (PMBs) and liquidated commercial banks.

The managing director stated this while receiving the management of NDIC, led by its Managing Director and Chief Executive, Alhaji Umaru Ibrahim, in his office in Abuja.

The FMBN managing director said the bank has received and executed agreements in respect of six out of eight distressed Primary Mortgage Banks and believed that with the support of the NDIC, the bank is sure that recovery of its funds in the affected PMBs will be realized.

Dangiwa expressed concern that the housing sector is greatly challenged with the huge housing deficit and poor funding framework.

Earlier in his address, the Managing Director of NDIC, said the revocation of licences of some Primary Mortgage Banks was necessary in order to have a sound and viable mortgage sector.

Alhaji Ibrahim disclosed that so far, NDIC has recovered funds belonging to the bank from six Primary Mortgage Banks.

He also called on the Mortgage Bankers Association of Nigeria (MBAN), the umbrella body of mortgage bankers to promote and facilitate best practices among its members in order to have a robust mortgage sector through periodic sensitisation exercises.

He further promised to partner with FMBN in recovering its trapped funds in the liquidated commercial banks and on information sharing.

Alhaji Ibrahim also requested FMBN to extend its services to staff of NDIC by providing funds to construct houses on lands owned by the staff cooperative society in Abuja and Lagos.