Monday, November 19, 2018 7.00PM /
Ottoabasi Abasiekong, Proshare WebTV
The FMDQ OTC Exchange in partnership with the International Finance Corporation, IFC and Family Home Funds, FHF hosted the Series II Housing Roundtable today in Lagos.
It brought together stakeholders in the housing sector, financial market, capital market, investment banking, analysts and policy makers amongst others.
The focus of the forum was “Unlocking the Potentials of the Housing Sector through the Nigerian Debt Capital Market”.
Giving a presentation on “Rent-to-own Model as a Veritable Capital markets instrument to Address Home ownership in Nigeria” Brigadier-General Tunde Reis (Rtd) President, First World Communities in his remarks believed a public-private partnership framework is key to achieving affordable housing on a sustainable basis.
Brigadier-General Tunde Reis (Rtd) identified the following as veritable platforms for funding the housing plan;
Speaking further he listed the models that can achieve effective delivery models, to include;
The Director, Other Financial Institutions in the Central Bank of Nigeria Mrs Tokunbo Martins giving insight into the “Perspectives on the Role of Subsidy in Addressing Housing Affordability”, informed stakeholders that there were six types of subsidies in the housing sector, which the government can deploy namely;
She used the opportunity to speak on the proposed Nigeria Mortgage Guarantee Company, designed by the Central Bank as a Private Sector Commercial Enterprise.
According to her the NMGC provides risk-sharing mechanism between the mortgage guarantee provider and participating mortgage lenders, which risk would have been borne by the mortgage lenders alone.
In the framework of the NMGC 50% of credit risk and maximum payment of indemnities, to lenders would be limited to 40% of the original loan amount.
It featured a special interactive session moderated by Sonnie Ayere Chairman, Mortgage Warehouse Funding Limited, that provided the opportunity for stakeholders to brainstorm and chart a pathway for financing housing in Nigeria.