The Bankers’ Committee Thursday canvassed for the release of N2 trillion out of the N9 trillion pension fund assets, for pension contributors to own houses.
The Managing Director of FSDH Merchant Bank, Hamda Ambah, told reporters Thursday that the decision was one of those taken at the committee’s meeting in Abuja.
According to her, the contributors of the fund will use the 25 per cent, amounting to N2 trillion as equity injection, to own houses.
She said: “Twenty-five per cent of N9 trillion is worth over N2 trillion and this fund can be used to stimulate demand for mortgage loans in our economy.
“It was agreed that the central bank would talk to fellow regulators and also work with government of various states to make the whole process of land transfer and titling a lot easier so that many more people across the nation can access mortgage financing thereby stimulate demand in our economy.”
The committee also commended the decision of President Muhammadu Buhari to retain the Central Bank of Nigeria (CBN) Governor, Mr. Godwin Emefiele, saying it is good for financial stability and economic growth.
Besides, Emefiele’s retention will also ensure the continuity of export stimulation programme of the apex bank.
CBN Director, Banking Supervision Department, Mr. Ahmed Abdullahi, also said the committee had resolved to commence disbursement of funds under the creative industry financing initiative.
Abdullahi said the committee believed the sector remained critical to job creation, poverty reduction and inclusive growth.
Giving more details on the plan to fund the creative industry, the Managing Director, FBN Quest Merchant Bank, Mr. Kayode Akinkugbe, encouraged interested applicants to submit applications to their banks for approval and disbursement.
He also urged them to prepare the business plan or statement on how much they required for their businesses.
On real estate financing, he said the committee would unlock the huge liquidity that various people have in the sector, adding that this would enable the banks to boost their contributions to the real estate sector towards adding value to the consumers.
“We have had good dialogue in the past and there is recognition in the Bankers’ Committee that it is time to execute a lot of the initiative that has been considered by the various sub-committees and acted on immediately.
“Another initiative discussed is in the real sector, we want to release the trapped liquidity that various investments that people have in the real estate in land or in property. Recognising that there are some obstacles but ultimately we must find a way to navigate through,” he added.