NMRC Gets $228m For Affordable Mortgages To Tackle Housing Deficit In Nigeria

The Nigeria Mortgage Refinance Company Plc (NMRC) has successfully secured $228 million in blended financing to boost affordable mortgage options in Nigeria.

The landmark transaction, aimed at addressing the country’s significant housing deficit, combines a $200 million loan from the U.S. International Development Finance Corporation (DFC) with $28 million sourced from local financial markets.

The deal, arranged by MiDA Advisors and Stanbic IBTC Capital, a member of the Standard Bank Group, represented a major step forward in NMRC’s mission to provide liquidity to Nigeria’s mortgage finance market.

The funds will be channelled through primary lending institutions, including commercial banks and primary mortgage banks, to refinance or pre-finance eligible mortgage loans across the country.

A key focus of the financing package was its commitment to serving vulnerable populations. Approximately 20% of the loan will be allocated to informal and low-income borrowers, while an estimated 40% of the mortgages refinanced or pre-financed will target women as borrowers or co-borrowers.

The approach aligns with recent statistics from the National Bureau of Statistics (NBS), which indicate that 63% of Nigerians were multidimensionally poor.

Reacting to the approval of the loan in a statement, the Managing Director and Chief Executive Officer of NMRC, Kehinde Ogundimu, expressed gratitude to DFC, noting that it was a clear proof of NMRC’s positioning as a key institution within the housing ecosystem.

“This transaction will certainly enhance our efforts to provide affordable long-term housing finance in a manner that will impact the overall sector.

“It shows that DFC and, indeed, other local and international financing institutions have a lot of trust in our capacity to manage long-term facilities that will make a tangible impact on the lives of Nigerians.

“The keen focus on low-income earners, the informal sector, and women is indicative of the direction of our efforts.

“As an institution, we are committed to driving equitable access to housing credit facilities thus enabling vulnerable Nigerians to achieve their homeownership dreams,” he added.

MiDA Advisors Chief Executive Officer, Mr. Aymeric Saha, added: “we are very pleased to partner with NMRC and Standard Bank to arrange another transformative housing finance solution that will impact over 6,000 households in Nigeria.

“Through this transaction, we are demonstrating here again the power of partnerships with Africa’s leading companies such as NMRC to tackle social infrastructure financing needs in the region.

“This transaction demonstrates the bank’s commitment in driving Africa’s socio-economic development through the facilitation of sustainable investment on the continent.”

“We understand the needs and challenges of Africa’s people and continue to deliver innovative solutions to address these. This is truly an incredible transaction with a positive impact to Nigeria and the continent,” said Luvuyo Masinda, Chief Executive of Corporate and Investment Banking at Standard Bank Group.

Also commenting on the transaction, Chief Executive of Stanbic IBTC Capital Limited Oladele Sotubo, the wholly owned investment banking subsidiary of Stanbic IBTC Holdings PLC said, “Stanbic IBTC Capital is delighted to have worked alongside MiDA Advisors to facilitate this landmark financing aimed towards enhancing accessibility and affordability of mortgages in Nigeria.

“The objectives of the transaction are well within the Standard Bank Group’s purpose in driving Africa’s growth, and we are extremely proud to be party to the transaction.”