The Ministry of Finance Incorporated (MOFI) has successfully secured N100 billion through the MOFI Real Estate Investment Fund (MREIF) to expand affordable housing initiatives across Nigeria.

This latest funding round follows the full subscription of the N150 billion Series 1 bond, announced on December 20, 2024. With the N100 billion Series 2 offering, fully subscribed in February 2025, the total funding under MREIF now stands at N250 billion.

Strong Investor Confidence in Nigeria’s Real Estate Sector

Providing an update, MOFI revealed that the N100 billion Series 2 issuance attracted strong private sector participation, reflecting investor confidence in the Fund’s structure and long-term growth potential.

“The N100 billion Series 2 offering was fully subscribed, with strong demand across a broad base of institutional investors, depicting high investor confidence in the Fund’s structure and long-term potential,” MOFI stated.

The ministry also highlighted that private sector participation in the latest round was significantly higher compared to Series 1, reinforcing MREIF’s position as a key capital mobilization platform for Nigeria’s real estate sector.

Transforming Nigeria’s Housing Sector

Minister of Finance, Wale Edun, hailed the successful Series 2 subscription as a crucial step toward addressing Nigeria’s housing deficit.

“The successful close of the pilot phase marks the beginning of a long-overdue transformation of Nigeria’s housing sector. The full subscription of Series 2 demonstrates the pent-up demand for a structured, long-term housing finance solution and affirms the private sector’s confidence in MREIF as a sustainable investment vehicle,” he said.

Affordable Mortgage Solutions for Nigerians

MOFI Managing Director, Armstrong Takang, emphasized that MREIF is designed to tackle both housing supply and affordability constraints.

“MREIF is unlocking new investment frontiers in Nigeria’s housing sector. This fully subscribed series demonstrates investor confidence in the Fund structure and long-term potential, which MOFI fully supports,” Takang stated.

He added that MREIF offers affordable mortgage financing with up to 20-year repayment plans at interest rates as low as 12%, significantly lower than prevailing commercial rates.

With MREIF’s N1 trillion multi-tranche program now in motion, future funding rounds will aim to expand investor participation and accelerate housing development. The fund’s structure will seamlessly integrate with commercial banks, mortgage institutions, and developers to scale long-term housing finance solutions.