FG approves NMRC’s plan to raise N50bn bond

The Federal Government has approved plans by the Nigeria Mortgage Refinance Company (NMRC) to raise N50 billion from the capital market through periodic issuance of Federal Government guaranteed bonds to institutional investors.

Minister of Finance & Coordinating Minister of the Economy, Dr. (Mrs.) Ngozi Okonjo-Iweala,  who disclosed this recalled that “the NMRC was launched on January 16, 2014 by President Jonathan as a PPP initiative with private sector mortgage lenders to encourage and promote home ownership by Nigerians and unlock the socio-economic potentials of the housing sector in Nigeria.

She noted that the establishment of NMRC was supported by a World Bank/IDA credit of $250 million at zero interest, 40-year period and 10 years grace, and 0.7 per cent commitment charge, to be disbursed in six tranches as Tier 2 capital.

Meanwhile, Okonjo-Iweala said the Federal Government has concluded arrangements to promote national building standards in the country in collaboration with private developers.