The Central Bank of Nigeria (CBN) disclosed that it will release a cumulative maximum limit of N200bn to provide construction finance facility to enable Family Homes Funds Limited to implement the Federal Government’s Social Housing programme as part of the Economic Sustainability Plan 2020.
The CBN disclosed this on Tuesday in a report on ‘Framework for the implementation of family homes financing initiative’.
With regards to the funding, the CBN stated thus: “Funds would be released to FHF on project basis subject to the cumulative maximum limit of N200 billion on a 3 year tenor from the date of disbursement and the interest rate under the intervention shall not exceed 5 per cent per annum.
“Construction work should begin at the site within 2 weeks of receipt of funds from CBN while the loan repayment for the facility should not exceed 3 installments within the tenor of the facility,” the framework revealed.
It noted that the periodic monitoring of projects financed under the FHF initiative shall be conducted by the technical advisors and CBN, adding, however, that the Development Finance Department of the Central Bank of Nigeria shall be responsible for the management of the intervention facility.