BHU project: the solution for debtors and why they want to merge it with BROU
Senator from the Colorado Party, Germán Coutinho, said that work is being done together with the Executive Branch to prepare a new bill to resolve the situation of debtors in indexable units (UR) of the Uruguay Mortgage Bank (BHU) and the National Housing Agency (ANV), something that the president had announced on March 2 in his speech at the General Assembly.
In the words of the legislator, “there is a solution” for “some 2,500 families.” Coutinho maintained that, if the project is approved, the beneficiaries “will not pay anything” and the BHU would relinquish around US$330 million.
“There is a solution because we are going to present a project and a decree where there are definitely certain families that meet certain requirements, and that those requirements mean that they will not pay anything,” added the senator.
The project is also studying the proposals of other senators, who proposed reaching a larger range of debtors, so that they can access “more benefits, taking into account that they are a significant number.”
The issue of BHU debtors has been public for some time, motivated by the fact that nearly 20,000 people took state loans in UR for housing construction and were harmed due to the UR adjustment variable, that is, the average index of wages.
Absorption
One of the newest points contained in the document is the absorption of the BHU by the BROU. Senator Sergio Botana of the National Party, who also worked on the project, explained to The Daily that “everyone agrees” that the Mortgage Bank “does not play any fundamental role.” “Maintaining a bank to give a loan per day does not seem the most intelligent thing,” added the target.
To finalize the merger, two thirds of the General Assembly would be required, so from a political point of view, a broad negotiation would be needed. Coutinho assured that this will go with the bill and it will be put to a vote, although he did not say if there are possibilities of reaching the necessary majorities.
in dialogue with Montevideo Portal, Coutinho explained that the BHU has “lost the social spirit for which it was created.” The senator pointed out that a few years ago there were no other private entities that offered mortgage loans, and today these are precisely the ones that offer the “best options” in this regard.
The idea of absorption by BROU also seeks to make the BHU more competitive. “Banco República has the possibilities to do so and can encourage it to go one step further and be on a par with the private ones,” added Coutinho.
