The Federal Government has launched the Ministry of Finance Incorporated (MOFI) Real Estate Investment Fund (MREIF), a N250 billion initiative designed to provide low-cost, long-term mortgage financing and stimulate economic growth through the housing and construction sectors.
This was revealed in a statement by the Federal Ministry of Finance through its X handle (formerly Twitter) on Friday.
“The first series of the fund, amounting to N150 billion, is expected to drive private sector participation, with the second series set to raise an additional N100 billion which aligns with President Bola Ahmed Tinubu’s vision to foster homeownership, create jobs, and support economic development,” the statement said.
It added that MREIF is designed as a bold public-private partnership, addressing systemic challenges in housing finance.
It prioritises affordable mortgages with repayment tenors of up to 25 years, offering interest rates envisioned at 11-12 percent, which is far below prevailing commercial market rates.
At the signing ceremony hosted by Wale Edun, minister of finance and coordinating minister of the economy, MOFI celebrated the imminent completion of Series 1 following receipt of initial approvals from the Securities and Exchange Commission (SEC).
“This N150 billion subscription demonstrates the Government’s commitment to fostering accessible housing, creating jobs within the sector, and driving economic growth,” Edun said.
Armstrong Takang, MD/CEO of MOFI, added, “This achievement is a pivotal moment for Nigeria’s housing sector. It sets the foundation for private sector participation and reinforces our vision to deliver sustainable housing solutions for all Nigerians. We thank the President for his bold leadership in tackling our nation’s housing deficit.”
Ahmed Aliyu Wadada, chairman of the Senate Committee on Public Accounts, described the initiative as “a milestone in the history of Nigeria.”
“This initiative reflects the Renewed Hope Agenda’s focus on creating sustainable homeownership opportunities for Nigerians,” he said.
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