FMBN Offers 106 Public Servants N350m Loans

One hundred and six public servants have so far benefitted from loans totalling over N350 million granted by the Federal Mortgage Bank of Nigeria (FMBN) under the National Housing Fund (NHF) scheme. 53 others, whose applications have been approved, are awaiting disbursement totalling over 168 million Naira.

Deputy General Manager of FMBN, Mr Okosun Victor Enaholo disclosed this last Friday at a meeting with the Head of Service, Barrister Samuel LongJohn and labour leaders in the State held at the conference hall of the Office of the Head of Service in Port Harcourt.

The meeting was part of agreement reached with labour unions over deductions from workers salaries in which labour requested that officials of the Bank be invited to explain the modus operandi of the deductions made to the FMBN in respect of the National Housing Fund.

Mr Ehaholo also disclosed that over two billion Naira have so far been contributed by public servants in the State since the inception of the scheme in November, 2004 while 12 million Naira have been refunded to 395 retirees with an interest of two percent since 2005.

He, however, pointed out that non-issuance of payment schedule along with monthly deductions by the Office of the Accountant General, especially during the e-payment era, had been a major hindrance to the smooth operation of the scheme in the State, stressing that concerted efforts had been made to enlighten contributors on the benefits of the scheme.

In their submissions, the Manager, Mrs Igonibi O-Brosibe and the Senior Manager, Mr Omolaiye St Paul said the aim of the scheme was to encourage workers imbibe the saving culture as well as enable contributors and corporate organizations access loans for the construction of houses at affordable rates with a repayment period of 20 years.

They explained that the presentation of a certificate of occupancy is a major criterion for accessing the loan while non-presentation of pay slips and inconsistent dates of birth at employment and retirement had hindered the refund process for retirees.

The Head of Service, directed the Office of the Accountant General to liaise with Zenith Bank, operators of the e-payment system between October, 2008 and August, 2012, to print out pay slips of contributors as wella s payment schedules in the required format, adding that another meeting would be fixed for a later date for further deliberations.