News Column

NMRC Begins Operations With N13.2 Billion

July 10, 2014

Bamidele Ogunwusi

The Nigerian Mortgage Refinancing Company (NMRC), a special mortgage refinancing vehicle launched by President Good luck Jonathan in January, has technically commenced operations just as the company completed its two day workshop on uniform underwriting standards for mortgage loans in the country.

Managing Director of NMRC, Sonnie Ayere, who led the company directors to meet with journalists yesterday at the end of a two day workshop in Lagos, said the company now has N13.2 billion with which it will begin operation.

Ayere said, the company has taken delivery of the first tranche of $20 million from the International Finance Corporation (IFC), an arm of the World bank, and has also raised N7 billion and N3 billion tier1 fund.

He said the company has technically resumed work and that the result of the work being done now will be feasible in the next six months when it will officially carry out its first mortgage refinancing.

His words: "When President Goodluck Jonathan launched the NMRC in January, he said the company will begin operations by mid year 2014 and I am glad to say that we have commenced work. The process of refinancing is not what you do suddenly. It takes several processes and we are on those processes and by the end of the year or early 2015, the company will officially issued its first mortgage refinancing and the whole world will see it.

"In the next six months, we will be working on providing the enabling environment for mortgage refinancing. We are putting so many things together and mortgage lenders can now begin to articulate steps towards creating mortgages for desirous Nigerians".

While expanding on Ayere's comment, a non-Executive Director of the Company and the President of the Mortgage Banking Association of Nigeria (MBAN), Mr. Femi Johnson, said the company in the next six months will be financing loans that have been originated by mortgage lenders now and to this effect, the company has started work and underwriting will begin in earnest.

Going forward, Ayere said the NMRC will work under the uniform underwriting standards to finance mortgages, stressing that underwriting standards are rules under which mortgages will be underwriting going forward.

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Source: AllAfrica

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