CAPE TOWN – First National Bank said on Tuesday that it was proud to be recognised with the Govan Mbeki award for helping to tackle the housing gap in South Africa.
Home Finance, a division of FNB which specialises in property finance was specifically recognised with the award.
The award follows the successful partnership with Sasol’s Housing Scheme to help address key housing challenges faced by Sasol employees in Mpumalanga, FNB said.
According to the financial institution, to date, 40 percent of these families have benefited from this hybrid offering of a home loan and government subsidies valued at over R4 million through the Finance Linked Individual Subsidy Programme (FLISP).
Lee Mhlongo, CEO of Home Finance at FNB, said on Tuesday that receiving this accolade was "testament to the fulfilment of our ongoing pledge to help millions of South Africans put a roof over their heads".
FNB said that South Africa’s housing challenge called for stakeholders to radically rethink the delivery of housing through deeper collaboration among sectors and communities.
“Access to housing is a matter of national importance and requires the collective contribution from various stakeholders to create more opportunities for first-time buyers to own their dream homes,” Mhlongo said.
FNB’s employer-backed partnerships believe that they have created an environment where together with corporates they reach more consumers and provide them with sustainable access to homes.
FNB additionally said that FLISP played a significant role in helping first-time home buyers qualify.
First time home buyers who earn a household income between R3 501 and R15 000 per month currently qualify for FLISP subsidies ranging between R20 000 to R87 000 once off provided that they haven’t benefited from a government subsidy before.
"We are looking forward to many more projects where we can collectively address housing needs not only in Mpumalanga but in all South African provinces,” said Mhlongo.
The Govan Mbeki Awards in collaboration with the Department of Human Settlements aim to recognise outstanding performance from various stakeholders in the delivery of housing projects in South Africa.