New $300 Million Mortgage Deal for Nigeria, by the World Bank

The World Bank and Nigeria are partnering for a $300 million mortgage deal to provide finance for the housing sector in Nigeria. The finance will be operational from 2014, in six states – including Lagos, Anambra, Bauchi and the FCT. The Coordinating Minister of the Economy, Dr. Ngozi Okonjo-Iweala revealed this at the World Bank/IMF Forum in Washington. She said, “the World Bank facility would attract a zero per cent interest, 0.7 per cent commitment charge, 10 years of grace, and 40 years repayment period.” She also said that “Nigeria’s housing deficit is 17 million, and has been growing by two million annually.” She said the government has urged states willing to pioneer the scheme, to remove the impediments on land acquisition, issuance of certificate of occupancy and other constraints on land-related issues. She disclosed that “the guidelines for setting up the structure of mortgage financing in the country is already being worked out and that by the end of the year, the institution will be in place.”