In keeping with its unwavering commitment to fostering partnerships with all stakeholders, the Federal Mortgage Bank of Nigeria (FMBN), on Tuesday, January 23, 2024, hosted its investee institutions at its headquarters in Abuja. The group, made up of several financial entities, met with the leadership of the Bank to be intimated on modifications to their existing arrangement, based on current realities.
Speaking during the meeting, the Executive Director, Business Development and Portfolio Management, Mr. Kingsley Chukwuma, explained the holistic significance of the meeting as an avenue for “exploring opportunities that would not only benefit our organizations but also contribute to the overall prosperity of our shared environment.”
Mr. Chukwuma noted that there were notable changes to the conduct and reporting of business transactions to financial authorities, in line with President Bola Ahmed Tinubu administration’s Renewed Hope Agenda, which investees needed to be informed about.
“You might be familiar with the Presidential directives regarding the implementation of a 50% automatic deduction from the Internally Generated Revenue (IGR) of Federal Government-owned enterprises. In line with this, all MDAs that receive 100% funding are required to remit the entire amount to the Government.
“MDAs that are partially funded or self-funding should remit 50% of their gross IGR, inclusive of all statutory revenue lines such as tender fees, contractor’s registration and sale of government assets to the sub-recurrent account, with 100% for partially funded and 50% for self-funding MDAs,” he said.
While stressing the consequences of non-compliance with the new directives, the Bank warned that misdirected payments to an incorrect ledger head or organization would be considered as 50% of the funds or none at all as the case may be.
Some participants who spoke at the meeting advocated for training of their operations personnel to sharpen their skills with regards to proper implementation of the new directives.
The meeting was the first since Mr. Chukwuma took over the reins of the Business Development and Portfolio Management Group of the Bank, with indications that it is the first of many future strategic engagements between the Bank and its investee institutions.
