As part of efforts to bridge Nigeria’s housing finance gap, the Ministry of Finance Incorporated (MOFI) has launched the 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.
The Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun who presided over the launch in Abuja, Tuesday, explained that the initiative seeks to address Nigeria’s housing finance gap by offering mortgages with repayment terms of up to 25 years.
This he said contrasts sharply with the high-interest, short-tenor loans currently offered by commercial banks.
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.
The programme aligns with President Bola Ahmed Tinubu’s vision to foster homeownership, create jobs, and support economic development, the Ministry of Finance said in a statement issued by the Director, Press and Public Relations, Mohammed Manga.
Described as a public-private partnership, the fund aims to incentivize developers to build affordable homes, thereby creating jobs and increasing commercial activity in the real estate and construction industries.
In his remarks at the fund’s launch, the Managing Director of MOFI, Dr. Armstrong Takang, noted that the initiative would enable Nigerians to build generational wealth through sustainable homeownership.
Key stakeholders, including government officials, private sector leaders, and financial institutions, attended the signing ceremony, signalling strong support for this transformative programme.
The launch of the MOFI Real Estate Investment Fund appears to be a significant step in the quest for economic growth and development, with its innovative approach to housing finance.
Ndubuisi Francis
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