The Federal Executive Council (FEC) has approved the creation of a N250 billion real estate investment fund, which aims to tackle Nigeria’s housing deficit and provide long-term, affordable mortgage financing for Nigerians.
Finance Minister Wale Edun disclosed this to State House correspondents on Thursday after the FEC meeting, which was led by President Bola Tinubu at the Presidential Villa.
According to Edun, the initiative will provide Nigerians with the opportunity to secure mortgages at interest rates significantly lower than the current market rates, which can exceed 30%, with tenures that could extend up to 20 years or more.
“Approval has been granted for the Ministry of Finance Incorporated (MOFI) real estate investment fund. This fund will serve as the basis for the revival of long-term mortgage financing in the Nigerian economy.
The MOFI Real Estate Investment Fund will initially amount to N250 billion and will provide low-cost, long-term mortgages to Nigerians who wish to acquire homes. It will help address part of the 22 million-unit housing deficit.
Of course, it will create jobs, stimulate economic growth, and pave the way for other private sector investors to participate in the housing construction industry, with significant benefits for the broader economy.
The concept is long-term. Investors will have the opportunity to earn market rates of interest and returns on investment, blended with seed funding of N150 billion,” he said.
#Instablog9jaNews #TrendingStory #Awareness #StayUpdated
