In a decisive move to address the rising issue of non-performing loans (NPLs), the Federal Mortgage Bank of Nigeria (FMBN) has inaugurated seven specialized Loan Recovery Task Teams.
These teams are charged with the critical mission of recovering delinquent loans across the country’s geopolitical zones and the Federal Capital Territory (FCT), Abuja, thereby ensuring the sustainability of the Bank’s lending operations.
READ ALSO:FMBN to Fund Affordable Housing Nationwide with N100 Billion
During the inauguration held recently in Abuja , the Managing Director and Chief Executive of FMBN, Shehu Usman Osidi,
highlighted the importance of adopting a different approach to loan recovery. He stressed the need to challenge conventional methods in order to achieve tangible results.
“As I have indicated at different fora, this Executive Management intends to challenge the status quo by doing things differently. As is commonly said, we cannot be doing the same thing, in the same way and expect a different result. The strategy we have chosen to adopt in our loan recovery endeavor is to follow a different path by challenging ourselves to deliver tangible results”.
READ ALSO: FMBN and FHA Collaborate to Provide Affordable Housing in 22 States
Osidi reiterated the significance of effective loan recovery to the Bank’s mission,pointing out that the sustainability of efforts to provide affordable housing finance to Nigerians heavily relies on successful loan recovery and reinvestment.
Despite progress in financial management, Osidi acknowledged the persistent challenge posed by non-performing loans. He emphasized the urgency of addressing internal inefficiencies to strengthen loan recovery efforts and uphold the Bank’s lending operations’ integrity.
“Unfortunately, the Bank has performed poorly in this regard. The turnaround has must start now and from all indications it has started,” Osidi admitted.
Each of the seven recovery teams is meticulously assembled with members possessing the necessary expertise, dedication, and resolve. Their mandate includes conducting comprehensive desk reviews of assigned loan portfolios and engaging relevant stakeholders.
Osidi expressed confidence in the Task Teams’ ability to achieve significant improvements in loan recovery rates. He commended the members for accepting this critical responsibility.
“I am confident that with the dedication and hard work of these Task Teams, we will achieve significant improvements in our loan recovery rates,” Osidi concluded.