Nigeria’s Ministry of Finance Incorporated (MOFI) has launched its N250 billion Real Estate Fund long-term mortgages to boost affordable housing, job creation, and economic growth in Nigeria.
The Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, who presided over the launch in Abuja on 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, according to him, 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.
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 will enable Nigerians to build generational wealth through sustainable homeownership.
At the signing ceremony were the key stakeholders, including government officials, private sector leaders, and financial institutions and it signaled strong support for this transformative programme.
Arise news quoted the statement issued by the Director, Press and Public Relations of the Ministry of Finance, Mr. Mohammed Manga, as saying that the programme aligns with President Bola Ahmed Tinubu’s vision to foster homeownership, create jobs, and support economic development.
It added that 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.
GIK/APA