The Nation Newspaper

Author: The Nation

  • Bridging housing deficit via mortgage finance

    Bridging housing deficit via mortgage finance

    Putting mortgage finance on the front burner is one way to promote Nigeria’s development. To make mortgage loans more accessible to the people, the Nigeria Mortgage Refinance Company (NMRC) is providing secondary mortgage market services to mortgage lenders, introducing various stimulus packages, including N500 billion for the Federal Mortgage Bank (FMBN).The agency is also supporting the Family Homes Fund (FHF) scheme (an initiative of the Federal Ministry of Finance) as well as the commencement of operations of the Mortgage Warehouse Fund Limited, among other initiatives, that promote affordable housing, writes COLLINS NWEZE.

    The estimated Nigeria’s population of over 206.1 million  based on the United Nation’s data has a projected deficit of between 17 and 22 million housing units. This presents an opportunity for the private sector  and government partnership in bridging the country’s housing gaps.

    As the private sector innovates to see improved mortgage financing, the government creates a conducive environment by formulating policies that ensure easy realisation of the plan.

    The establishment of the Nigeria Mortgage Refinance Company (NMRC) also showed the Federal Government’s commitment to growth in the housing sector.

    The NMRC is providing secondary mortgage market services to mortgage lenders and introducing various stimulus packages. These include the  N500 billion Federal Mortgage Bank (FMBN) cash, the Family Homes Fund (FHF), Mortgage Warehouse Fund Limited and the take-off of the Nigeria Mortgage Guarantee Company (NMGC) aimed at providing more insurance and promoting the ease of doing mortgage business adversely affected by the Land Use Act.

    Besides, the outbreak of the COVID-19, which  led to lockdowns in various parts of the world gave rise to renewed housing opportunities. As individuals and businesses  began to adapt to the new reality of the environment, professionals began to demand  larger apartments that could accommodate a home office. This was accompanied by a gradual shift towards garden-style communities that offer environments fit for social distancing with open spaces, lower density, and greater air circulation.

    Also, to reduce the severity of the effect of the COVID-19 pandemic on various sectors of the economy, the Central Bank of Nigeria (CBN) led by Godwin Emefiele had in April, last year,  said the apex bank would focus on bridging the housing deficit by facilitating government intervention in three critical areas, namely housing development, mortgage finance, and institutional capacity to boost job creation, household incomes and  growth.

    To achieve this, the regulator said it would pursue the creation of a fund that would target housing construction for developers that provide evidence of profiled off-takers with financial capacity to repay.

    The identification framework in the banking sector called for the need to use the bank verification number (BVN) to verify the information provided by the off-takers before the developer can access the funds.

    It will also consider ways to assist the mortgage finance sub-sector while building capacity at the state levels for their land administration agencies to process and issue land titles promptly, implement investment friendly foreclosure laws and reduce the cost of land documentation, as these have remained major inhibiting factors in the provision of affordable housing.

    Group Chief Executive Cititrust Holdings Plc, Yemi Adefisan, explained that among the mortgage banks championing reduced housing deficit is LivingTrust Mortgage Bank Plc, a member of Cititrust Group.

    The bank is accredited by the Federal Mortgage Bank of Nigeria (FMBN) for the National Housing Fund (NHF) scheme and a subscriber to the Nigerian Mortgage Refinance Company Plc (NMRC).

    So far, the bank has funded or executed projects worth more than N130 billion in mortgage loans (NHF, residential mortgages and estate development loans) from inception  and prides itself as being supportive of numerous clients. Also, the bank has  established a pipeline to partnership strategic relations with FMBN approved estate developers and other reputable estate developers in the funding of exquisite residential properties all over Nigeria.

    Cititrust Financial Services Plc invested in the bank – LivingTrust Mortgage Bank Plc – in 2019 and became the majority shareholder, setting the stage for it to be more competitive with a wider coverage in its service delivery.

    This move led to a name change from Omoluabi Mortgage Bank Plc to LivingTrust Mortgage Bank Plc, a member of Cititrust Group, thus positioning the over 27-year-old bank from a regional powerhouse to an emerging leading national player in the mortgage finance sub-sector of the economy.

    Meanwhile, to strengthen the operations of NMRC, the FMDQ Securities Exchange Limited, following the due diligence of its Board Listings and Markets Committee has approved the listing of the NMRC Plc Series 3 N10 billion Fixed Rate Bond under its N440 billion Bond Issuance Programme on its platform.

    The listing joins other corporate securities issued on the FMDQ Exchange Platform to kick off the year in addition to Total Nigeria PLC, Valency Agro Nigeria Limited, Mixta Real Estate PLC and Flour Mills of Nigeria Plc.

    In view of the sustained disruptions occasioned by the impact of the pandemic to businesses and economies alike, the capital market has continued to provide the much-needed succour for corporate entities looking to raise funds to meet shortfalls in their working capital needs as well as capital expenditures.

    The real estate sector has evidently been one of the worst-hit sectors with financing remaining a core challenge for property developers and prospective homeowners.

    The NMRC is a private sector-driven mortgage refinancing company. It promotes home ownership for Nigerians and deepens the primary and secondary mortgage markets by raising long-term funds from the capital market, to enhance access to affordable housing finance in the country.

    The bank was also among the four listed firms to be migrated to the growth board of the Nigerian Stock Exchange (NSE) last year to leveraging the exchange listings to raise long-term capital, facilitate liquidity in the trading of its shares and provide a cost-effective platform to raise the capital needed to scale, attract investors, enhance its corporate visibility and regulatory structure that fosters growth.

    The bank also witnessed the unveiling of a new website (www. livingtrustng.com) with enhanced capabilities for account opening, loan application and online repayment simulations which has increased the bank’s loan application and customer acquisition processes and aims at delivering superior quality products and services to all customers, regardless of their status and locations in line with the increasing cultural diversity of her fast-growing customer base.

    As part of the bank’s digital transformation efforts, it has launched a new mobile banking smartphone application, Trustmobile Plus with features that enable easy banking such as funds transfer, utility bill payments, airtime recharge, account statement and balance inquiry, amongst others; while it commenced the use of USSD *723# and on-boarded numerous Automated teller machines (ATM) across her branches and other business units to enable customers gain unrestrictive access to their funds 24/7.

    LivingTrust Mortgage Bank is also supporting the drive towards improving access to finance for MSMEs. As part of efforts to proffer solutions to the funding challenges faced by small businesses, the bank last November  joined the league of other participating financial institutions appointed by the Development Bank of Nigeria (DBN) to access funds for on-lending to qualifying Micro, Small and Medium Enterprises (MSMEs) in the country.

    The benefits of MSMEs funding include, but are not limited to, increased contribution to the economy in terms of output of goods and services; the creation of jobs at relatively low capital cost, especially in the fast-growing service sector; provision of a vehicle for reducing income disparities; development of a pool of skilled and semi-skilled workers as a basis for future industrial expansion; improvement in forward and backward linkages between economically, socially and geographically diverse sectors of the economy; provision of opportunities for developing and adapting appropriate technological approaches; and offer an excellent breeding ground for entrepreneurial and managerial talent.

    In months ahead, LivingTrust Mortgage Bank will be focused on consolidating on the gains of previous years. It will be building a stronger balance sheet by deepening its core mortgage business, maintaining strategic investments and partnership with businesses complementary to its core services, strengthening customer relationships, digital transformation and driving  strategy of being a market facing adhocratic organisation.

  • OML 118: NNPC, SNEPCo, others sign multi-billion dollars agreement

    OML 118: NNPC, SNEPCo, others sign multi-billion dollars agreement

    By John Ofikhenua, Abuja

    The Nigerian National Petroleum Corporation (NNPC) and its Production Sharing Contract (PSC) partners – Shell Nigeria Exploration and Production Company (SNEPCo), Total Exploration and Production Nigeria Limited (TEPNG), Esso Exploration and Production Nigeria Limited (EEPNL) and Nigerian Agip Exploration (NAE) – have executed agreements to renew Oil Mining Lease (OML) 118 for another 20 years.

    The five agreements signed include Dispute Settlement Agreement, Settlement Agreement, Historical Gas Agreement, Escrow Agreement and Renewed PSC Agreement.

    A statement by the Group General Manager, Group Public Affairs Division of the NNPC, Dr. Kennie Obateru, quoted the Group Managing Director of the Corporation, Mallam Mele Kyari, as saying that over $10bn of investment would be unlocked as a result of the agreements, which signaled the end of the long-standing disputes over the interpretation of the fiscal terms of the Production Sharing Contracts (PSC) and the emplacement of a clear and fair framework for the development of the huge deep-water assets in Nigeria.

    According to him, this is an indication of “a renewed confidence between NNPC and her partners; between the Government and the investing communities which include NNPC. It produces value for all of us by providing a clear line of sight for investment in the Bonga bloc of around $10billion,” Mallam Kyari stated.

    He disclosed the deal would yield over $780million in immediate revenues to the Federal Government while it would also free the parties from over $9billion in contingent liabilities.

    “Ultimately, these agreements will engender growth in our country where investment will come in for other assets, not just in the deep-water, but even for new investors. It is an opportunity for them to see that this country is ready for business,” the GMD enthused.

    He thanked President Muhammadu Buhari, the Minister of State for Petroleum Resources, Chief Timpre Sylva, and the NNPC Board of Directors for enabling the Corporation to achieve this laudable landmark.

    Country Chair of Shell Companies in Nigeria, Mr. Osagie Osunbor, said the OML 118 renewal agreement would remain a watershed in the history of deep-water investments in Nigeria, assuring that the giant stride would further bolster investor confidence in the country.

    Managing Director of SNEPCo, Mr. Bayo Ojulari, noted the agreements marked the end of a twelve-year dispute that had marred business relationship and affected trust and investment.

    “Today, we have signed agreements that define the future of deep-water for Nigeria. This is the first deep-water block that was developed in Nigeria and it is also the first one that we are resolving all the disputes that will lay the foundation for the resolution of other PSCs,” the SNEPCo helmsman stated.

    On their parts, the Managing Directors of Total, Mike Sangster, Exxonmobil, Richard Laing and NAOC, Roberto Danielle, all applauded the GMD NNPC, Mallam Kyari, for providing leadership which engendered the resolution of the disputes, assuring that the agreements would attract more investments into the Nigerian Oil and Gas Industry.

  • 10 healthy ways to cope with stress

    10 healthy ways to cope with stress

    By Oluwatomisin Amokeoja

    Stress is inevitable for humans as it can be an offshoot of different things from work to relationship with people.

    There are many mechanisms to cope with stress so as to forestall an adverse toll on the health.

    Below are 10 healthy ways to cope with stress:

    •  Go for a walk

    New research has found that taking more steps each day could help you live longer. You don’t need to commit to lengthy strolls every day to improve your health. More daily steps has been linked to a range of health benefits, like better heart health, improved sleep quality, and more positive mental health.

    • Spend time in nature

    Studies have shown that spending time in nature is an antidote for stress as it can lower blood pressure and stress hormone levels, reduce nervous system arousal, enhance immune system function, increase self-esteem, reduce anxiety, and improve mood.

    • Sweat out tension with a good workout

    Sweating helps cool down the body. Water is released through glands in the skin, evaporates off the skin and the body is cooled. During exercise, muscles heat up more, so more sweat is needed.

    • Write in your journal

    Journaling can reduce stress by serving as an escape or emotional release of negative thoughts and feelings.

    • Take a long bath

    Submergence in water can reduce pain and inflammation and also calm the nervous system, reducing the levels of stress and anxiety in the body and improving your mood.

    • Savour a warm cup of coffee or tea

    Some studies have identified that drinking coffee or tea can potentially reduce emotional and physical stress. Coffee’s effect on brain chemistry not only keeps us alert but it can also affect neurotransmitters in the brain to help you fight off symptoms of stress.

    • Play with a pet

    Interacting with animals has been shown to decrease levels of cortisol (a stress-related hormone) and lower blood pressure. Other studies have found that animals can reduce loneliness, increase feelings of social support, and boost your mood.

    • Get a massage

    Massage helps to decrease stress by lowering the heart rate, relaxing muscles and releasing endorphins. Massage increases temperature in the body and promotes relaxation. When the body relaxes, heart rate is reduced.

    • Listen to music

    Faster music can make you feel more alert and concentrate better. Upbeat music can make you feel more optimistic and positive about life. A slower tempo can quiet your mind and relax your muscles, making you feel soothed while releasing the stress of the day. Music is effective for relaxation and stress management.

    • Watch a comedy

    Comedy triggers laughter. Laughter is strong medicine drawing people together in ways that trigger healthy physical and emotional changes in the body. Laughter strengthens your immune system, boosts mood, diminishes pain, and protects you from the damaging effects of stress. Nothing works faster or more dependably to bring your mind and body back into balance than a good laugh. Comedy lightens your burdens, inspires hope, connects you to others, and keeps you grounded, focused, and alert. It also helps you release anger and forgive sooner.

  • Economy still in doldrums, say MAN, LCCI

    Economy still in doldrums, say MAN, LCCI

    By Chikodi Okereocha and Okwy Iroegbu­-Chikezie

    Although Nigeria’s Gross Domestic Product (GDP) grew by 0.51 per cent in first quarter (Q1) of the year, as reported by the National Bureau of Statistics (NBS), the prevailing economic circumstances and the struggling state of the manufacturing sector remain worrisome, the Manufacturers Association of Nigeria (MAN) and the Lagos Chamber of Commerce and Industry (LCCI) said yesterday.

    MAN reacted to the Q1 2021 report of the NBS released over weekend revealing that the economy again witnessed a successive positive growth rate following the 0.11 per cent recorded in Q4 2020.

    It said the economy was beginning to recover from the shocks of the COVID-19 pandemic, albeit with the other operating challenges in the economy.“We are mindful of the negative impact of the depreciation in naira value and acute shortage of forex as they remained huge challenges in the quarter,” it said.

    Its Director-General Segun Ajayi-Kadir in a statement, however, said it would appear that the reported result might mark the beginning of a tortuous journey back to the path of recovery and growth.

    He said the situation called for more intentional actions from government, focused on supporting productive activities to drive better performance in the remaining quarters of the year.

    “Frankly speaking, the 0.40 per cent growth rate differential is moderate. Caution must be applied, as this performance when examined in the mirror of 2019, results show below par growth rate.

    “Meaning it will amount to error of judgment to ascribe better performance by comparing Q1 2021 with Q4 2020, a year like no other that was heavily challenged by COVID-19 and a period that growth was largely driven by full easing of lockdown, seasonal and festive driven demand for goods and services,” the MAN DG said.

    LCCI Director-General, Dr Muda Yusuf said a marginal improvement in real GDP growth from 0.11 per cent in Q4 of 2020 to 0.51 per cent in Q1 of 2021 was noticed but added that the economy was still struggling to recover from the shocks of the pandemic and slip into recession.

     

  • Lagos to host 22nd African Athletics Championship

    Lagos to host 22nd African Athletics Championship

    Thirty-two years after hosting the sixth edition of the African Senior Athletics Championship, Lagos has been confirmed as the host of the 22nd edition billed to hold on June 23 to 27 at the Teslim Balogun Stadium, Surulere.

    After a meeting on Monday in Cairo, Egypt between President of Confederation of African Athletics (CAA) Kalkaba Malboum, and Minister of Youth and Sports Development Sunday Dare, Lagos was affirmed to host the crème-de-la-crème of African athletics in an event that will serve as the last qualifying event for African athletes for Tokyo 2020 Olympic Games.

    Auxiliary support will be provided at the National Stadium, Surulere and the Yaba College of Technology, Yaba, both in Lagos during the five-day championship.

    This will be the third time Nigeria will be hosting the Championship after Lagos (1989) and Asaba (2018) hosted the sixth and the 21st editions respectively.

    Nigeria has now tied with Egypt as the two African countries to host the championships thrice since the inaugural edition in 1979 in Dakar, Senegal.

  • Omidiran endorses Aisha Buhari Six-Nation tourney

    Omidiran endorses Aisha Buhari Six-Nation tourney

    Honourable Ayo Omidiran, chairperson of the Nigeria Football Federation Women Football development committee has explained the motive behind the launch of the Aisha Buhari Cup.

    In September, six nations will feature in the maiden invitational women’s football tournament, including South Africa, Cameroon, Mali, Morocco, Ghana and host country Nigeria in Lagos.

    The showpiece which has been endorsed by the First Lady Aisha Buhari, wife of President Muhammadu Buhari as one of her programmes aimed at uplifting the girl-child on the continent.

    The announcement has attracted many questions as some considered the staging of the competition by the Nigeria Football Federation struggling with financial problems as waste of public funds.

    However, Alhaja Ayo Omidiran explained that the likely two-week long event has been launched in celebration of its 30 years of involvement in women’s football globally and also will be used to honour those who have supported the growth of the women’s game in the country.

    “Though women football begun in Nigeria long before 30 years, we decided to use our qualification for the first women’s world cup in 1991 to celebrate the game in Nigeria,” said Omidiran.

    “It is going to be a very big event to honour all those who helped in lifting the game to enviable height.

    “Part of the things we planned to use to mark the occasion include a football competition named Aisha Buhari Cup, awards night to appreciate all those who have brought honour to the country and those that have supported the growth of the game in Nigeria.”

    The two-time member of the House of Representatives and former NFF board member further revealed that her committee will propose some lofty ideas to improve the fortune of the women’s game.

    “We have various plans to make all grades of our national teams develop to higher levels as well as help develop our coaches,” said the six-years long serving member on FIFA and CAF committees.

    “We shall make our recommendation to the NFF and hopefully, our plans will be implemented,” concluded the proprietor of Omidiran Babes.

  • 2020-2021 season: Simy, Zanusi, Onuachu make Africa best discoveries

    2020-2021 season: Simy, Zanusi, Onuachu make Africa best discoveries

    As the 2020-21 season draws to a close, Nigeria’s trio of Simy Nwankwo, Zaidu Sanusi and Paul Onuachu has been listed among ESPN’s top 10 Africa’s breakout stars of the outgoing season.

    According to ESPN, the selected players burst onto the scene this term, and this took their careers to new heights during a memorable campaign in the outgoing football season across Europe.

    Zanusi has been described as a relative unknown when he was signed by FC Porto in August as a replacement for Manchester United-bound Alex Telles, but the Nigerian has been a revelation for the Portuguese side.

    Also, Simy had already tasted life in Serie A before this season, but 10 goals across two seasons — and 44 appearances — did little to suggest that he would be such a remarkable success in the top flight this term.

    The towering front man has been outstanding for relegated Crotone, scoring 20 goals for the league’s second-bottom club to finish joint-fifth in the goal scoring charts.

    Onuachu who was named as the best player in the Belgian league is another Nigeria striker who can look back on a fine campaign, while he has taken his game to a whole new level in 2020-21.

    Last term, he registered nine goals in 22 games — finding the net approximately once every 170 minutes — but has improved his output dramatically this season.

    The 6’7 front man has registered 33 goals in 38 outings for Genk, scoring once every 89 minutes and maintaining the kind of scoring rate that none of the continent’s strikers can rival. His goals helped Genk to secure Champions League qualification next season.

    Other players listed include Amad Diallo (Cote d’Ivoire), Silas Wamangituka (Congo DRC), M’Bala Nzola (Angola), Wesley Fofana (Mali), Michael Olise (Nigeria/Algeria), Amine Gouiri (Algeria) and Aurelien Tchouameni (Cameroon)

  • German Machine job excites Flick

    German Machine job excites Flick

    Former Bayern Munich boss Flick, 56, has signed a three-year contract to succeed Low, who will step down after 15 years in charge.

    A statement on the German FA’s official website read: “Hansi Flick will take over as the new coach of the Germany national side. The 56-year-old signed a contract running until 2024 today at the DFB headquarters in Frankfurt am Main, which also includes the EURO 2024 to be held in Germany.”

    The statement added: “Hansi Flick’s contract will begin on July 1 2021 and he will take over from Joachim Low once this summer’s Euros have finished.

    “Low had already agreed to end his contract – which ran until 2022 – after the tournament.”

    Flick was Low’s assistant from 2006 to 2014 – they led Germany to glory at the 2014 World Cup in Brazil – before departing to take on the role of sporting director with the German FA.

    Flick said: “Everything happened very quickly, especially signing the contract, but I’m really happy to be the national team coach from autumn.

    “The season has just finished and the last two years at FC Bayern have left their mark on me. The team spirit and attitude of the players was excellent and I will take plenty with me that will help my work in my new role.

    “I’m really excited because of the class of players we have in Germany, especially the youngsters.

    “We’ve got every reason to be optimistic about future tournaments, including the home Euros in 2024.

    “What matters right now is the upcoming tournament and I would like to wish Jogi Low, Marcus Sorg, Andy Kopke and the team the best of luck. Jogi Low more than deserves a great finish to his wonderful career as national coach.”

    Flick left his role with the German FA to become Hoffenheim’s sporting director in 2017 before joining Bayern as Niko Kovac’s assistant in the summer of 2019.

  • Gumel gets another term as ANOCA treasurer

    Gumel gets another term as ANOCA treasurer

    President of the Nigeria Olympic Committee (NOC) Habu Gumel has been re-elected by a clear majority as Association of National Olympic Committees of Africa (ANOCA) treasurer in a head-to-head with Togo’s Akpaki Kodjo Ogouwa, winning 43 to their opponent’s 10.

    Also, Algeria’s Mustapha Berraf has been re-elected as President of ANOCA after defeating challenger Lydia Nsekera in yesterday’s election at the organisation’s General Assembly in Cairo.

    Berraf, an International Olympic Committee (IOC) member who became President in 2018, will serve a second four-year term.

    He was re-elected with 38 votes as Burundi’s Nsekera tallied 15.

    Both candidates stood for the position in 2018 too, which ended with Berraf winning by 34 votes to 20.

    The Algerian succeeded long-serving Ivorian President Lassana Palenfo, who spent 13 years at the helm and was first elected in 2005.

    Sudan’s Ahmed Hashim was re-elected as the general secretary of ANOCA, defeating Seydina Omar Diagne of Senegal by 29 votes to 24.

    Sao Tome and Principe’s Joao Da Costa Alegre Afonso and Lesotho’s Matlohang Moiloa Ramoqopo were elected as first and second vice-presidents respectively unopposed.

    Kamal Lahlou of Morocco was elected as third vice-president ahead of Negroes Kgosietsile of Botswana and Julien Minavoa of Benin.

    After Minavoa was eliminated after the first round of voting, Lahlou won 27 to Kgosietsile’s 25 votes.

    Fardouza Egueh of Djibouti was elected as fourth vice-president unopposed.

  • CBN SENIOR TENNIS CHAMPIONSHIP: Adegoke, others cruise to Second Round

    CBN SENIOR TENNIS CHAMPIONSHIP: Adegoke, others cruise to Second Round

    Defending champion and Edo 2020 National Sports Festival gold medallist, Serah Adegoke was off to a fine start yesterday by ousting Blessing Anuna 6-1, 6-0 in one of the first round matches of the Women’s singles events of the on-going 43rd edition of the Central Bank of Nigeria Senior open Tennis Championship holding at the Tennis courts of the package ‘B’ of the Moshood Abiola National Stadium Abuja.

    She cruised into the second round along with victorious Muhammed Musa who stopped Badmus Kareem 6-3, 6-3 in the Men’s singles category; while Godgift Temibra eased past Emmanuel Micheal 6-4,6-3 to also book as well.

    Meanwhile the secretary General of the Nigerian Tennis Federation, Dayo Abulude has commended the Central Bank Of Nigeria for the sponsorship of the annual championship, even as he called on other cooperate organization to emulate the good gestures of the apex bank in sports sponsorship.