Business
National Housing Fund disbursements hit N265billion – FMBN
The Federal Mortgage Bank of Nigeria has disbursed a total of N265 billion under the National Housing Fund.
A total of N265billion has been disbursed by the Federal Mortgage Bank of Nigeria (FMBN) under the National Housing Fund (NHF).
This disclosure was made by the Managing Director/CEO of the bank, at the recently concluded 2020 Housing Summit in Abuja. He also announced that 570,000 new subscribers joined the scheme, thus increasing the subscribers’ base to 5.1million membership.
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According to the Managing Director of FMBN, Ahmed Dangiwa, the total disbursement of N265bn, which represents an increase of 73.8% or N112.5bn on the initial N152.5bn, was achieved in 2017 by the current management team.
READ: Federal Mortgage Bank disburses additional 8,700 homes, N112 billion in three years
He also stated that within the last three years, new homes grew by 43% to 8,700 new homes with total housing units of 29,133 under the NHF scheme.
Dangiwa revealed, “NHF collections grew by N186bn, representing 80%, to reach a cumulative amount of N418bn as of September 2020. On the home renovation micro-loan, the bank had been able to grow this by over 2,000% from about 2,600 to 56,000 loans in the last three years.”
(READ MORE: FG approves N3.9 billion variation in housing contracts, Abuja’s dam rehabilitation)
What you should know
The NHF scheme, established by Act 3 of 1992, was created to serve as a pool of long-term funds for housing delivery, funded by 2.5% of workers’ monthly income and mandatory investments of percentages of the business portfolios of banks and insurance companies.
READ: Infinity Trust Mortgage Bank Plc suffers 2.21% drop in Q3 revenues
The National Housing Fund (NHF) is a thoughtful scheme introduced by the Federal Government of Nigeria to enable Nigerians in all sectors of the economy, particularly those within the lowest income brackets to own their homes by consistently contributing 2.5% of their monthly salaries to the Federal Mortgage Bank of Nigeria (FMBN), that manages the fund.
READ: Covid-19: N3.5 trillion disbursed as stimulus package for the Nigerian economy
According to the directives released by FMBN, to be eligible for the scheme, the contributor must be above the age of 18 and must have contributed to the Fund for a period not less than six (6) months. The applicant must also show strong evidence of a good and regular cash-flow, to ensure regular repayment of the loan.
READ: Thinking Of Getting A Mortgage In Nigeria? 10 Important Things You Must Know
Individuals are to apply through a duly licensed and accredited Primary Mortgage Bank (PMB) of their choice, while the institutional borrowers can only apply for the loan directly through the Federal Mortgage Bank of Nigeria (FMBN).
Business
FG to name new train station after Mobolaji Johnson
FG to name flagship train station located at Ebute Metta after the former Governor of Lagos State, Mobolaji Johnson.
The Federal Government is set to name its flagship train station located at Ebute Metta after the former Governor of Lagos State, Mobolaji Johnson.
This was disclosed by the Ministry of Transportation via its Twitter handle on Sunday.
It tweeted, “New indoor photos of our flagship station located at Ebute Metta. It is to be named Mobolaji Johnson Station after the former Governor of Lagos State. Please share your thoughts.”
New indoor photos of our flagship station located at Ebute Metta. It is to be named Mobolaji Johnson Station after the former Governor of Lagos State. Please share your thoughts. Thanks 🙏 pic.twitter.com/BgqGhrT4s4
— Federal Ministry of Transportation (@MinTransportNG) April 11, 2021
What you should know
The Federal Government has also stated why the China Civil Engineering Construction Company (CCECC) Nigeria Limited could not link the final part of the Lagos-Ibadan rail line to the sea, according to Nairametrics.
The government in its explanation said that it was due to disruption by trucks going in and out of the port complex.
According to a press statement signed by the Director, Press and Public Relations of the Federal Ministry of Transportation, Eric Ojiekwe, this disclosure was made by the Minister of Transportation, Rotimi Amaechi, while on a routine tour of the Lagos-Ibadan rail line project on Saturday, April 10, 2021.
Business
The five-ingredient of a successful startup pitch
Every great pitch has these 5 ingredients to help you maximize your chances when fundraising for your startup.
Startups typically prepare a pitch deck to present to potential investors for funding. A pitch deck is a brief presentation that provides investors with an overview of your business. It typically focuses on showcasing your product and business model. An excellent pitch is highly essential to the success of a startup seeking funding from investors.
According to Romeen Sheeth, an angel investor who heard 200 companies pitch and invested over $1million last year, every great pitch has these 5 ingredients to help you maximize your chances when fundraising.
- Problem:Â Is this an issue?
- Solution:Â Do you have the fix?
- Market:Â Â Is this a big enough issue?
- Business: Can you make money
- Team:Â Do you have the human resources to do it?
READ: Billionaire investors in Nigeria you may not know
The best pitches nail all 5. Good ones hit 4. Subpar hit 3 or less.
Problem
The problem statement is an explanation of why a set of circumstances is painful for a set of users. There’s one word in that sentence that is most important: painful. If your problem is not painful enough, it’s a vitamin. The best startups are pain killers.
Solution
The solution statement is an explanation of how you address the pain felt by your users. If you don’t have the right solution, you won’t get customer traction. Customers don’t buy your thesis on the pain point. They buy the actual thing that solves their pain point.
READ: How Quidax is Building Africa’s Next Billion-Dollar Crypto Startup
Market
In tech, only businesses that have outsized potential get funded. To have outsized potential, you have to either be in a: (a) small, but rapidly growing market or (b) large existing market that can be resegmented. If not, the business is not venture backable.
Business
The business model defines how you print cash. What is the key insight you’ve figured out that other people haven’t? You don’t need to reinvent the wheel on everything to be a compelling business. Just explain the secret sauce that helps you capture the value.
Team
Everything else is academic if you can’t execute. Ultimately the investor is betting on your team’s ability to bring out the reality in the insights around the problem, solution, market, and business. Communicate why you are the best in the world to build the business.
Once you feel good about these 5, think through the connection points. Every topic that comes up in the conversation will be a function of a connection point. For example:
- Problem-Market = Industry Dynamics
- Solution-Market = Competition
- Market-Business = Unit Economics
Bottom line
When you pitch, always keep it simple. Understand the 5 core ingredients, think through how they relate to one another, communicate with clarity, and don’t assume investors understand your business.
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