The Family Homes Funds Limited through Family Homes Sukuk Issuance Program Plc has completed the issuance of N10 billion seven years 13 per cent Series 1 Ijara Lease Sukuk due 2028 (“Series I Sukuk”).
The programme was funded under the N30 billion Sukuk Issuance Programme.
The signing which is the first-ever certified corporate Sukuk in Nigeria was held in Abuja yesterday.
Speaking on the issuance, the chief executive officer of Family Homes, Femi Adewole expressed delight in the transaction, saying it is the first-ever certified corporate Sukuk issued in Nigeria.
“This is a landmark event in the unfolding history of a young organization with a vision to transform the housing market by making safe decent housing accessible to the overwhelming proportion of our population, particularly those on a low income.
“The domestic debt capital market has given us the opportunity to further diversify our funding sources and provided the necessary support for our goal of providing affordable homes across Nigeria.
“The strong support for this transaction, given the challenging environment, is a reflection of the depth of the market, and investor confidence in Family Homes Fund’s long-term strategy and management team,” he said.
The minister of Finance, Madam Zainab Ahmed, in her address congratulated Family Homes Funds and all professional parties involved.
She said, “I believe that this has been a very long and demanding journey, for which I would like to commend the Board and Management of Family Homes Funds, and all parties related to the Issuance.
“This is not only historical, but it will strengthen Family Homes Funds’ dedication to its core principles and expand its ability to offer wider opportunities for millions of Nigerians who rely on them to realize their home ownership dreams.
“As we know, housing is one of the key indices for measuring development in any country. From the onset, housing for Nigerians, especially those on low-income has been a major priority for President Muhammadu Buhari’s government.
“Social housing is one of the strategic pillars of our economic development programmes and a direct way of improving the lives of Nigerians. This is what has informed the kind of investment we are making across the country through institutions like the Family Homes Funds.”
She further said Family Homes Funds, with funding from the federal government, has so far been able to finance the development of affordable homes across several states in Nigeria.
“Sustainable funding is very critical for what Family Homes Funds do, and the interest that this Issuance has generated is very significant for what the future of funding in the housing sector may look like. The kind of results we are seeking can be hastened through efforts like this, where the private and public sectors can blend in through investments and other forms of partnership,” she said.
Also speaking, chairman, Family Homes Funds Board of Directors, Alhaji Suleiman Barau said the great leap taken was possible because of the support from the federal government.
“The minister has through her great leadership always provided the necessary backing needed for the institution to deliver effectively on its mandate.
“As a result of that, the institution has today been able to finance the development of 11,700 homes at different levels of completion across the country, with many more in the pipeline,” Barau said.
About Family Homes Fund Limited
Family Homes Funds Limited is a quasi- government entity (owned by the Federal Government of Nigeria (FGN), via the Federal Ministry of Finance and The Nigeria Sovereign Investment Authority) established in 2016 and commenced operations in 2017, as part of the FGN’s Social Intervention Programme.
Family Homes is a social housing financing fund aimed at addressing the housing deficit in Nigeria and improving the quality of life of low-income Nigerians through housing which is in line with the New Urban Agenda and the United Nations Sustainable Development Goals of promoting sustainable cities and communities, reduced poverty, good health and well-being, economic growth, and reduced inequalities. Family Homes evolved in response to the need to provide decent homes and accessible housing finance for lower earning Nigerians while harnessing the job creation potential of the housing sector.
To date, Family Homes Funds has financed the development of at least 11,700 homes for low-Income earners across several states in Nigeria Including Delta, Ogun, Kano, Nasarawa, Kaduna, Yobe, Bauchi, Borno, Adamawa, and has created up to 64,000 direct and indirect jobs in the process.
The establishment is also implementing the National Social Housing Programme (NSHP) of the Federal Government of Nigeria which aims to provide up to 300,000 homes to Nigerians on low income – the single largest investment in the history of Nigeria towards ensuring that Nigerians have decent homes. In addition to homes, the programme, which is the government’s economic and growth recovery plan in response to the adverse impact of the COVID-19 pandemic, will create up to 1,500,000 jobs and contribute to revitalizing local manufacturing of local building materials.
Over the next 4years, specifically through its affordable Housing projects, the company aims to invest up to N1.3trn (US$3bn) in the development of 500,000 homes for people on low income. In the process, the Company also aims to create up to 1,500,000 jobs and enable homeownership through its creative products. To learn more about Family Homes and its various initiatives, visit https://fhfl.com.ng/
