Agusto & Co has upgraded its credit rating of the Family Homes Funds Limited (FHFL) from ‘’BBB’’ to ‘’A’’
The pan-African leader in credit ratings and credit reports has announced that the upgrade reflects the improved capacity of Family Homes Funds to attract funding from the domestic capital market for its core objective of providing affordable housing for low-income families across Nigeria.
The rating assigned also reflects the core social developmental mandate of FHFL and strong ownership support from the Federal Government of Nigeria (FGN). The rating is also supported by the Company’s good asset quality, strong capitalization for current business risks, good risk management practice, and experienced Board and management team.
In a reaction to the development, the MD/CEO of Family Homes Funds, Mr. Femi Adewole applauded the team’s collective effort and noted that the upgrade of FHFL’s credit ratings by Agusto & Co. validates investor confidence in the operations of the organization.
FHFL according to him would continue to strive for excellence, uphold global standards of transparency and accountability in the conduct of its business as it strives to provide decent and affordable homes for Nigerian families on low-income.
Despite the impact of the high inflation environment, weakening average purchasing power and insecurity on FHFL’s business, the MD is confident that the company has the strategy to innovate and continuously improve its rating. The rating, according to him only serves as a motivation to achieve more.
The Family Homes Funds is a social housing initiative promoted by the Federal Government of Nigeria as part of its Social Intervention Programme. The Company is a Limited Liability Company with initial shareholding by the Federal Ministry of Finance and the Nigeria Sovereign Investment Authority. The company aims to invest up to N1.3trn in promoting the development of 500,000 homes for people on low income. In the process, the Company also aims to create up to 1,500,000 jobs.