The Federal Mortgage Bank of Nigeria (FMBN) has announced the recovery of N65 million from a stalled housing project in Abuja, paving the way for the completion of 962 homes for civil servants. The project, originally valued at over N65 million, had been abandoned by the previous contractor, leaving hundreds of prospective homeowners in limbo.
Recovery and Completion Plans
According to a statement from FMBN, the bank successfully recovered the N65 million from the contractor through legal and administrative channels. The funds will now be redirected to complete the housing units, which are part of the National Housing Fund (NHF) scheme. The homes are located in the Kubwa area of Abuja and are designated for low- and middle-income civil servants.
FMBN Managing Director, Shehu Osidi, confirmed the development during a site inspection. He stated, 'We have recovered N65 million from the contractor and will use it to complete the 962 housing units. This is part of our commitment to ensuring that Nigerian workers have access to affordable housing.'
Impact on Civil Servants
The completion of these homes is expected to benefit thousands of civil servants who have been contributing to the NHF. Many of them have waited years for their homes to be delivered. The FMBN has assured that the project will be completed within 12 months, with strict oversight to prevent further delays.
Osidi added, 'We are determined to ensure that no contributor to the NHF is left disappointed. This recovery is a testament to our resolve to hold contractors accountable and deliver on our promise.'
Background of the Project
The housing project was initially awarded to a contractor in 2020 but stalled due to alleged mismanagement of funds. The FMBN took legal action to recover the funds, which culminated in the recent recovery. The bank has since engaged a new contractor to complete the remaining work.
The FMBN has also implemented stricter monitoring mechanisms for all its housing projects to prevent similar issues in the future. The bank is currently overseeing over 10,000 housing units across Nigeria under various stages of construction.
