The Federal Mortgage Bank of Nigeria (FMBN) has disclosed plans to increase the contribution to National Housing Fund to N285bn in 2024.

The Chairman, Board of Directors, Ayodeji Ariyo Gbeleyi, who disclosed this during the management retreat yesterday in Abuja, said as part of efforts to reposition the bank, it approved a 5-Year Strategy Plan covering the period 2020-2024.

Gbeleyi stated that the plan was geared toward deepening the mortgage sub-sector while it focus on certain Key Performance Indicators (KPIs) to finance 100,000 housing units and grow mortgages to N712 billion in 2024 as well as increase contributors from about 4.8 million in 2018 to 31.6 million in 2024.

While stating that the target of the strategic plan was to deepen mortgage penetration, he called for reforms in the housing sector.

He identified frequent macroeconomic headwinds, inflationary pressures, exchange rate devaluation, spiking interest rate and the rising cost of living in the face of weakening purchasing power as impediments to a virile mortgage sector.

Speaking, the Minister of Works and Housing, Mr Babatunde Raji Fashola, disclosed that the National Council on Housing and Land, last week in Sokoto, adopted a recommendation for the FMBN to seek NDIC’s insurance of its contributors’ fund just as it is done for depositors in other banks.

The minister further said that the equity contribution ratio for certain types of loans has been reduced.