Federal Government Introduces Non-Interest Housing Finance in Kano

The Federal Government launched a non-interest housing finance product named ‘Ijaarah Mumtahiya Bittamleek – Lease to own’ under the Federal Mortgage Bank of Nigeria in Kano. The launch occurred on a Tuesday, with Dr. Muttaqha Rabe Darma, the Minister of Housing and Urban Development, officiating the event.

He described the product as a means to provide financial and ethical ease for Nigerians, emphasizing that it opens a door for those who wish to own homes without compromising their financial or ethical beliefs. Dr. Darma urged various stakeholders, including employers, cooperative societies, licensed developers, Takaful operators, primary mortgage banks, pension fund administrators, and state governments, to collaborate with the Federal Mortgage Bank of Nigeria.

He explained that the product allows eligible Nigerians to occupy a home, make agreed rental payments over a specified period, and ultimately become the owner. The initiative is asset-backed, transparent, regulated, and accessible to all eligible contributors to the National Housing Fund, regardless of religion.