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Abbey Building Society secures $10m foreign loan



Abbey Building Society Plc has secured a $10 million convertible loan from the Netherlands Development Corporation Company also identified as FMO.



Managing Director/Chief Executive Officer of Abbey Building Society Plc, Mrs. Rose Ada Okwechime, said at the weekend that Abbey would use the loan in enhancing housing and mortgage facilities for cooperatives with good track records, support bona fide estate developers as well as corporate organisations in their housing needs.



According to the firm, negotiations with FMO for the facility commenced at The Hague, Netherlands about two years ago, adding that through Abbey's consistency and doggedness, it came into fruition towards the end of last year. A formal agreement to this effect will be signed this week (March 5) in Abuja.



In Abbeys determination to meet its set targets in the area of home ownership through partnership with estate developers and relevant government agencies, it recently got AFRICINVEST Financial Sector Limited of Tunisia to invest in the equity of Abbey to the tune of €1.25 million and €1.25 million convertible loan in April, 2008.



In October 2009, Abbey also had a facility loan of $5 million from Shelter Afrique of Nairobi, Kenya to enable it further strengthen its core business of mortgage lending and construction finance in Nigeria. Abbey won in 2007, the "Best Managed Bank in West Africa award", earned triple B or Bbb rating by the highly acclaimed rating agency of Agusto & Co. It became a public liability company on September 28, 2007 and in October 2008 was listed on the Nigerian Stock Exchange.



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