A real estate expert and Chief Executive Officer (CEO) of Manroe Realty Limited, a real estate company, Dr. John Edumoh has stated that the current drive by the Central Bank of Nigeria to recapitalize the banking sector will impact the real estate market positively boosting lending.
Speaking to Daily Trust on Thursday, on the implications of recapitalization on the sector, he noted that "With the banking sector's recapitalization, banks across Nigeria are strengthening their capital bases to meet new regulatory requirements, enhancing financial stability, and increasing their lending capacity. This shift is expected to have profound positive impacts on the Nigerian real estate sector, creating a fertile ground for companies like Manroe Realty to thrive.," he said.
Speaking further, Dr. Edumoh believes that one of the most immediate benefits of the banking recapitalization is the increased access to financing for real estate developers as banks bolster their capital adequacy ratios, they can extend more substantial loans and credit facilities to the real estate sector.
On what the development will mean for the real estate sector and ManroeRealty, he said "The recapitalization effort means we can secure more favorable financing terms for our projects, enabling us to undertake larger and more ambitious developments. This access to capital, for the company allows Manroe Realty and other real estate companies to expand its portfolio, including residential, commercial, and mixed-use properties.
The real estate expert further believes that the recapitalization of the banking sector will restore investor confidence, and make Nigeria a more attractive destination for international capital.
He added that Manroe Realty is keenly aware of the importance of infrastructure in real estate development adding that "The enhanced financial capacity of banks, thanks to recapitalization, is expected to support large-scale infrastructure projects across the country as improved infrastructure, such as roads, power, and water supply, directly benefits real estate by increasing property values and making locations more attractive,"
