Housing Finance in Emerging Markets

TENTATIVE AGENDA

March 15^th   World Bank H Auditorium, 19th and G Streets, NW, Washington, lower level (please enter from G street side of building)

8:00-9:00  Breakfast

9:00-9:30    Welcoming Remarks, Cesare Calari, Vice President, Financial  Sector, World Bank; and Jyrki Koskelo, Director, Global Financial Markets, International Finance Corporation

9:30-10:15   “Opening Presentation: Expanding Housing Finance Systems,” Loic Chiquier, Lead Housing Finance Specialist, World Bank

10:15-12:30

Session 1: The Rise of Housing Finance: Opportunities and Challenges

Moderator: Bob Buckley, Housing Policy Advisor, World Bank

• “Housing Finance and Housing Markets in an Urbanizing World,” Bob Buckley, Housing Policy Advisor, World Bank
• Selected Country Presentations. Senior executives from the housing finance industry will discuss the rapid rise of housing finance in their countries, including the driving factors, products, funding models, impacts, risks and challenges ahead.    India, Renu S. Karnad, Executive Director, Housing Development Finance Corporation.   Mexico, Guillermo Babatz, Director General, Sociedad Hipotecaria Federal, Mexico. South Africa, Cas Coovadia, Managing Director, Banking Association, S.A.

12:30-14:00   Lunch, East Dining Room, Lower Level, Main Complex Building, at 18th Street and H Street. Please enter from 18th Street side of building, pass through security, and proceed downstairs to C-1 level.

14:00-15:15

Session 2: The Irreversible(?) Growth of Private Housing Finance

This panel will consider reasons for the rapid growth in global housing finance markets and particularly in emerging markets. Speakers will compare business models and identify challenges ahead, from the perspective of international players working in cross-country situations.

Moderator: Kenroy Dowers, Principal Financial Specialist and Head of Housing Finance, International Finance Corporation

Private Housing Finance Panel

• Jeffrey Jaffee, Mortgage Programme Director, Citi Financial
• Jean-Christophe Steven, Area Managing Director Switzerland, South Mediterranean and Africa, UCB
• Chris Nordeen, President, International Business Group, GMAC RFC
• Tahir M. Naseem, Director, Real Estate Structured Finance, Unicorn Investment Bank, B.S.C. 

15:15-15:45    Coffee

15:45-17:30   

Session 3: The Role of Specialized Housing Lenders

In this session, a panel of executives and experts will consider the changing roles and markets for specialized institutions in housing finance. Do they act as a market driver, or a transition/complement role to banks? Are these lenders gradually unbundling the industry? Speakers will discuss specific funding models, challenges and mandates for state housing banks.

Moderator: Adrian Coles, Secretary-General, International Union of Housing Finance, and Director-General, General Building Societies Association, UK

• "A Few Lessons Learned about State Housing Banks," Douglas Diamond, Housing Finance Expert, Consultant
• "Experience of the Government Housing Bank of Thailand," Khan Prachuabmoh, President, Government Housing Bank of Thailand (speech document linked here)
• “The Expansion and Future of Sofols in Mexico,”Manuel Campos Spoor, Chief Executive Officer, Hipotecaria Su Casita, S.V. (description of Su Casita linked here)
• “The Evolving Structure of US Mortgage Markets,” Douglas G. Duncan, Senior Vice President, Research and Business Development, and Chief Economist, Mortgage Bankers Association, USA
• “HFC’s Pioneering Role and Further Mortgage Market Expansion in Ghana,” Asare Akuffo, Managing Director, HFC, Ghana

17:30-19:00   Evening Cocktail Reception, World Bank Main Complex Building at 18th Street and H Street, 12th Floor Gallery. Please enter building from 19th Street side, go through security, and proceed straight ahead to northwest elevators. Go up to 12th floor, and turn left, walk down hallway to gallery.

March 16^th     World Bank H Auditorium, 19th and G Streets, NW, Washington, lower level

8:00-9:00   Breakfast

9:00-12:15

Session 4: Balanced Funding and Mortgage Securities

This session will address the slow but irreversible growth of mortgage securities as funding tools. How do mortgage securities     complement to transformed bank deposits. What are the objectives, drivers and barriers, on and off balance sheet products? Speakers will also discuss   the evolution of secondary mortgage companies and  the role of the state.

Moderator: Michael Lea, Cardiff Economic Consulting

Panel: The Evolving Role of Secondary Market Institutions and Securitization

• Mr. Kokularupan, Chief Executive Officer, Cagamas Berhad, Malaysia
• Alberto Gutiérrez Bernal, President, Titularizadora Colombiana
• Marcelo Icikson, Banco Hipotecario, Argentina
• Ibrahim Daher, Managing Director, Jordan Mortgage Refinancing Company 

10:30-11:00                Coffee

11:00-12:30                Session 4, continued

• “International Growth of Covered Bonds,” Cristina Costa, Senior Adviser, European Covered Bond Council
  “The Funding Perspective of a Housing Lender,” Walter Bayly, Chief Financial Officer, Banco de Credito Peru 
• "Rating Agency's Perspective on the Development of Mortgage Securities in Emerging Economies: Trends, Models, Issues," Juan P. De Mollein, Director and Team Leader, Latin America/Emerging Markets Structured Finance, Standard and Poor's

12:30-14:00                Lunch, East Dining Room, Lower Level, Main Complex Building, at 18th Street and H Street. Please enter from 18th Street side of building, pass through security, and proceed downstairs to C-1 level.

14:00-15:30

Session 5: Public and Private Partnerships in Mortgage Insurance

In this session, regulators and practitioners will discuss options for public and private partnerships and their sequencing. They will consider market preconditions, risks to cover, adverse selection, co-insurance or reinsurance, state subsidies, and catastrophic risks. What is the impact on the expansion and affordability of housing finance markets, and what are the risks for the government? How have state guarantee funds worked? Speakers will also consider the best and worst practices.

Moderator: Loic Chiquier, Lead Housing Finance Specialist, World Bank  

Discussant: Roger Blood, Senior Associate, Mercer Management Consulting Inc.

• “International Lessons,” Pierre David, Directeur Exécutif, Canadian Mortgage and Housing Corporation
• “Genworth’s View as a Global Private Mortgage Insurer,” Gary Miller, Director of International Legal and Regulatory Affairs, Genworth Financial, Inc.
• “UGI/AIG’s View as a Global Private Mortgage Insurer,” Eric Klopfer, Vice President, Strategic Development and Regulatory Affairs
• “Experience of Sociedad Hipotecario Federal, Mexico,”Carlos Serrano, Executive Vice President of Credit, Mortgage Insurance, and Financial Guarantee, Sociedad Hipotecaria Federal, Mexico

15:30-16:00                Coffee

16:00-17:30

Session 6: Regulations and Education

• “Impact of Financial Regulations on Mortgage Markets,” William Britt Gwinner, Senior Housing Finance Specialist, World Bank
• “The Evolving Regulatory Framework of UK Mortgage Industry,” Adrian Coles, Secretary-General, International Union of Housing Finance, and Director-General, UK Building Societies Association
• “Regulatory Experience of Colombia After the Mortgage Crisis,” Mauricio Cardenas, Director, Fundación para la Educación Superior y el Desarrollo (Fedesarollo), Colombia
• "Consumer Education: Luxury or Necessity, Best and Worst Practices," Achim Duebel, Housing Finance Specialist, Finpolconsult

March 17^th  

8:00-9:00  Breakfast

9:00-10:15

Session 7: Expanding Supply of Housing Finance – Construction Finance and Property Development

Recognizing the strong developmental impact of housing in emerging markets, it is important to support construction finance, despite its inherent risks. These types of investments directly address the supply side of the housing sector. Unfortunately, in emerging countries, limited access to mortgage finance through primary and secondary mortgage markets has limited the access to construction finance. This session will highlight innovative approaches for expanding the supply of housing finance, such as: (a) Property development companies; (b) Wholesale vehicles for property investing; (c) Construction-funded capital market support for developers; and (d) Mass-scale multi-use project development.

Moderator: Vincent Rague, Chief Investment Officer, International Finance Corporation

• "Linking Construction Finance and Securitization," Nicholas Reade, Chief Executive Officer,  Rio Bravo Securitizadora
• "Regional Expansion of Property Development," Ayman Sejiny, Advisor to the Chairman, Dar Al Arkan Real Estate Co.
• "Multi-Pillar Approach," Sanjeev Gupta, Chief Executive Officer, Aflife/Sanlam Investment Management, Emerging Markets
• "OPIC Guarantees to Developers in Zimbabwe," Debbie Erb, Overseas Private Investment Corporation, USA
• "Role of Residential REITs," Michael Bookstaber, Senior Financial Specialist, International Finance Corporation

10:15-10:45    Coffee

10:45-12:15

Session 8: Residential Rental Markets

This session will examine an overlooked, but critical component of any social housing policy and broader housing finance systems—the residential rental market. Speakers will address questions of debt, equity, and subsidies. They will consider specific frameworks, features and needs. Experts from a few countries will share selected experiences.

Moderator: Prof. Richard K. Green, Oliver T. Carr Jr. Chair in Real Estate and Finance, and Associate Dean for Graduate Business Programs, George Washington University

• “Dynamize Residential Rental Markets in Morocco,” Claude Taffin, Director of Economic and Financial Studies, l'Union Sociale pour l'Habitat, France
• “Public and Private Rental Finance in Poland,”Wladyslaw Jan Brzeski, Senior Urban Specialist, ECSIE, World Bank
• "Rental Housing for Middle Income Groups: Public-Private Partnerships," Wolfgang Amann, Institute for Real Estate, Construction and Housing, Austria (view PDF file here)

12:15-14:00   Lunch

14:00-16:30

Session 9: Expanding Housing Finance to the Lower Income Groups

Moderator: David Porteous, Managing Director, Recap International / Affordable Housing Institute

• “Successes and Limits of Housing Microfinance,” Franck Daphnis, President, Development Innovations Group
• "Examples of 'Smart' Housing Finance Subsidies," Marja C. Hoek-Smit, Director, International Housing Program, Wharton School, University of Pennsylvania
• "Contractual Housing Savings—From Hungary to India,” Friedemann Roy, Senior Project Manager, Bankakademie International (view PAPER here)
• "Going Up Market to Serve Low-Income Groups,"  Olivier Hassler, Senior Housing Finance Specialist, World Bank
• "Lease-to-Purchase Housing Finance in Chile," Juan E. Montes, General Manager, Securitizadora Security GMAC-RFC, Chile
• "Shorebank's Experience in South Africa," Lauren Moser, Senior Managing Director, Shorebank Advisory Services International

17:00    Closing