By ABF News Desk
The Federal Mortgage Bank of Nigeria (FMBN) has launched its Non-Interest Mortgage Product, known as Ijarah Muntahia Bittamleek (Lease-to-Own), in a significant move to broaden access to housing finance and promote inclusive homeownership across Nigeria.
The product, unveiled in Kano by the Honourable Minister of Housing and Urban Development, Engr. Muttaqha Rabe Darma, PhD, provides an alternative to conventional interest-based mortgage financing for eligible contributors to the National Housing Fund (NHF).
As part of the launch activities, the Bank commissioned the FMBN-Ijarah-01 Estate in Bichi, Kano State, and handed over keys to the inaugural beneficiaries of the pilot project. The development marks a practical step towards converting the Bank’s housing finance initiative into tangible homeownership opportunities for Nigerian families.
Speaking at the event, the Minister charged FMBN to ensure that the new product delivers measurable results, emphasising that its success should be assessed not merely by its official launch but by the number of Nigerians who ultimately become homeowners through the scheme.
His remarks underscored the importance of translating housing policies and financial interventions into accessible, affordable, and sustainable housing solutions for citizens.
The Managing Director and Chief Executive of FMBN, Shehu Usman Osidi, described the initiative as another deliberate effort by the Bank to make homeownership more accessible and inclusive. He reaffirmed FMBN’s commitment to ensuring that its housing finance interventions deliver practical benefits to Nigerian households.
The introduction of the Ijarah Muntahia Bittamleek product also expands the range of mortgage financing options available to eligible NHF contributors seeking an alternative to conventional interest-based arrangements.
Importantly, the scheme is open to eligible NHF contributors nationwide, irrespective of religious affiliation or geographical location, reinforcing its inclusive character and broad national reach.
The launch and commissioning of the pilot estate in Kano represent an important milestone in FMBN’s efforts to address Nigeria’s housing challenges through innovative financing arrangements. However, the initiative’s long-term impact will depend on its accessibility, affordability, effective implementation, and ability to reach a substantial number of eligible contributors.
As the Bank begins implementation, stakeholders will be watching to see how effectively the new product expands access to homeownership and contributes to reducing the country’s housing deficit.
ABF News — Empowering Financial Excellence.