Uganda Housing Finance Bank secures sh25b from France

Friday July 15, 2011

France has given a long-term sh25b loan to the Housing Finance Bank for home and commercial mortgages and construction finance.

Through the French Development Agency, the French government also offered a technical grant of sh100m to the bank to reinforce its procedures in risk management and environmental issues. The loan is meant to enhance the bank’s capacity to “continue its leading role in offering competitively priced mortgages with flexible repayment terms.”

“The loan will enable the bank to further grow its market share in the mortgage sector, provide currency flexibility and also extend the tenor of our loans,” Nicholas Okwir, the managing director, said.

He said the bank had recently introduced products key to business and economic development. These include commercial mortgages, construction finance and small business loans.

“It will soon also be providing flexible agricultural products to boost the backbone of the Ugandan economy,” Okwir added.

The French envoy, Aline Kuster-Menager, said with the blessing of the International Monetary Fund, they hoped to have a long-term relationship with the bank intended to help Uganda achieve its national development goals.

By Eddie Ssejjoba: The New Vision Newspaper