In a bid to provide $200 million annually for the next 10 years to finance housing construction in Nigeria, the Federal Mortgage Bank of Nigeria (FMBN) yesterday signed a Memorandum of Understanding (MOU) with the Real Estate Developers Association of Nigeria (REDAN) and Shelter Afrique.

According to Ceoafrica, Acting Managing Director/CEO of FMBN, Mr Richard Esin, at the event in Abuja, said the expected funds will help drive the proposed new housing model designed by the federal government at the 2016 housing summit and help fast-track the provision of about 8 -10,000 housing units.

He said considering the fact that the level of Gross Domestic Product contribution to housing is less than 1%, the signing of the MOU is a critical step in the journey to bridge the gap and also provide opportunity for job creation for over 150,000 people.

REDAN President, Rev. Ugo Chime, in his remarks, said the signing of the tripartite MOU is a multi-disciplinary effort that will lead to high compliance cost and promote inclusive team work.

Special Adviser to the Minister of Power, Works and Housing, Abiola Oki, said the event marked the beginning of a mutually beneficial relationship and the forming of a strategic alliance and heralds a new chapter for the housing sector.

The president of Trade Union Congress of Nigeria (TUC), Bobboi Kaigama, who was also present at the signing ceremony, said the provision of additional houses would go a long way in addressing workers plight and called for sustainable funding of the scheme.