MREIF provides N128bn mortgage financing to 1,859 families — FG

The Federal Government has disclosed that the Ministry of Finance Incorporated Real Estate Investment Fund (MREIF) has provided N128 billion in affordable mortgage financing to 1,859 Nigerian families across 25 states, expanding access to home ownership nationwide. The development was announced in a statement issued by the Special Adviser to the President on Information and Strategy, Bayo Onanuga, who said President Bola Tinubu commended the growing impact of the housing finance initiative. According to the statement, beneficiaries from Nigeria’s six geopolitical zones have accessed mortgage facilities with repayment tenors of up to 20 years at a fixed interest rate of 9.75 per cent per annum and a minimum equity contribution of 10 per cent. President Tinubu noted that limited access to affordable long-term mortgage financing has remained one of the major barriers to home ownership in the country. “For years, many Nigerians could afford monthly rent but lacked access to the financing needed to purchase a home. The progress recorded by MREIF demonstrates that with the right policies, strong institutions and effective partnerships, access to home ownership can be expanded, creating more opportunities for Nigerians to build wealth through asset ownership,” he said. The President further disclosed that beyond the mortgages already disbursed, the Fund has unlocked N221 billion in total property value and supported the delivery of 475 housing units through offtake guarantee projects. Established in 2024, MREIF is a N1 trillion housing finance platform designed to mobilise long-term capital for mortgage lending and address Nigeria’s housing finance deficit. Its pilot phase comprises N250 billion in concessionary and commercial funding, combining government support, private-sector management and institutional investment to increase access to affordable mortgages. The Federal Government said it expects additional capital mobilisation under the scheme to further expand mortgage lending, attract more institutional investors and deepen access to affordable housing finance across the country. The Fund is sponsored by the Ministry of Finance Incorporated (MOFI) and managed by ARM Investment Managers Limited. According to the statement, MREIF’s Series 2 commercial issuance has earned an AAA rating from Agusto & Co. and an AA rating from GCR Ratings, reflecting investor confidence in the Fund’s governance framework and long-term sustainability. Providing further insight into the programme, the government revealed that the average mortgage beneficiary is 42 years old, highlighting strong demand among working Nigerians who have historically faced challenges accessing affordable long-term housing finance. President Tinubu described MREIF as a key component of the administration’s housing sector reforms under the Renewed Hope Agenda, alongside the Renewed Hope Cities and Estates Programme and interventions by Family Homes Funds Limited. He stressed that affordable mortgage financing remains the critical link between housing construction and home ownership, helping to bridge a gap that has persisted for decades. The President also recalled that Nigeria has struggled for nearly six decades to develop a mortgage market capable of delivering affordable, long-term housing finance at scale. Last year, the Ministry of Finance Incorporated listed the N1 trillion MREIF on the Nigerian Exchange Group (NGX) to mobilise private and institutional capital for affordable housing development. The listing involved the N1 trillion Series 2 Investment Fund comprising one billion units priced at N100 each and attracted participation from government officials, capital market operators and private-sector investors. The Federal Government said the listing demonstrates its commitment to leveraging innovative market-based financing solutions to drive economic growth and expand access to affordable housing.