The Ministry of Finance Incorporated (MOFI) has announced the launch of the N100bn Series 2 Offering under the MOFI Real Estate Investment Fund (MREIF), marking a significant step in addressing Nigeria’s housing deficit.
According to a statement on Monday, the new offering builds on the success of the N150bn Series 1 subscription, bringing the total capital raised under the fund to N250bn.
MREIF is a government-backed initiative aimed at reducing Nigeria’s estimated 20 million housing deficit by providing long-term, affordable financing for housing development and homeownership. The initiative aligns with President Bola Tinubu’s Renewed Hope Agenda and is designed to attract private sector investment into the housing sector.
“This second phase builds upon the successful N150bn Series 1 subscription, bringing the total initial funding under MREIF to N250bn,” the statement read.
While Series 1 was fully subscribed by MOFI as the anchor investor, Series 2 is designed to attract private sector participation, with N100bn expected from institutional investors.
This move signals MOFI’s commitment to fostering public-private partnerships to expand housing finance and stimulate inclusive economic growth. The long-term vision of MREIF is to raise N1tn to transform Nigeria’s housing sector by enabling millions of Nigerians to access affordable homeownership.
The fund prioritizes mortgage financing with repayment terms of up to 25 years, offering interest rates of 11-12%, significantly lower than prevailing commercial mortgage rates. This affordability is achieved through a blended finance structure, integrating subsidized public funding with private sector investments.
Speaking at the official launch of Series 2, Minister of Finance and Coordinating Minister of the Economy, Wale Edun, emphasized the importance of private sector involvement in expanding the housing sector.
“Series 1 demonstrated the government’s commitment to accessible homeownership. Series 2 now provides an opportunity for private investors to participate in an initiative that will generate jobs, enhance infrastructure, and boost economic growth,” he stated.
MOFI’s Managing Director and CEO, Dr. Armstrong Takang, described Series 2 as a critical step toward unlocking private capital at scale for Nigeria’s housing market.
He highlighted that through the blended finance model, the fund is establishing a sustainable framework for affordable homeownership, benefiting Nigerians across different income levels.
MOFI Board Chairman, Dr. Shamsudeen Usman, hailed the initiative as a landmark achievement in Nigeria’s housing sector, describing MREIF as a key driver of the Renewed Hope Agenda for sustainable homeownership opportunities.