Umar Dankane, Executive Director, Business Development and Portfolio Management of the Federal Mortgage Bank of Nigeria, has said about N500 billion would be needed to recapitilisation it for optimal performance.
Dankane made the disclosure on Wednesday in Calabar at the bank’s Southern Zonal Retreat, with the theme “Motivating the Informal Sector to Embrace the National Housing Fund Scheme.”
According to him, for the mortgage market to excel in Nigeria, there is an urgent need for the Federal Government to recapitalise the bank with N500 billion.
“The crucial challenge facing the Federal Mortgage Bank in Nigeria is its capital base. The bank is yearning for government’s rescue through recapitalisation.
“Initially, the bank was created with a capital base of just N5 billion and being the famous secondary mortgage market, it can no longer hold from the realities on ground. Today, even the Primary Mortgage Banks have a capital base of N5 billion. “So you can imagine the famous Secondary Mortgage Market still relying on N5 billion capital base.