HFC was created to promote and devise financial mechanisms to raise financial resources for housing development on behalf of the Government. It is a public entity providing financing to Seychellois to construct homes and finance home improvement. In February 2009, the company merged with the PMC, as a way to strengthen its social housing focus.

HFC is mainly a company with lots of social responsibility and is not intended to have large profits; however it should be able to sustain its operational costs. Its major role involved borrowing moneys from banks at a reasonable interest rate and subsequently lending to clients. Its main customers are low to middle income earners with a maximum income of R20, 000.

Its main income is derived from loan interests while the deposits (Home Saving Schemes) are utilised as working capital.

Since 2011 HFC operates under the Financial Institutions Act, which brings this institution under the jurisdiction of the Central Bank of Seychelles - similar to other local financial institutions. Under the new mandate HFC is not entitled to be involved in real estate and thus the reason for the current split up of HFC and PMC.

As at January 2013 HFC and PMC have been designed to operate separately. HFC's function will now be restricted to the lending of money while the PMC has been created with its main function to manage the stock of government properties, currently a function of the HFC.

Presently HFC has 50 staff of which 20 falls under the PMC once the split-up is finalised.
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