Abuja: The Democratic Front (TDF) has commended the N100bn Ministry of Finance Incorporated (MOFI) Real Estate Investment Fund as a creative initiative by the Tinubu administration to provide affordable housing options for low-income individuals and families.
According to News Agency of Nigeria, the advocacy group, in a statement released on Sunday by Malam Danjuma Muhammad, its Chairman, expressed confidence that the initiative would help bridge Nigeria’s housing deficit. “The recent launch of a N100 billion private sector-led real estate financing scheme by the Federal Government is yet another demonstration of commitment by President Bola Tinubu to enhance accessibility to homeownership for Nigerians. The benefits contained in the financing scheme for affordable mortgage loans are evident, featuring a repayment period of up to 25 years and an interest rate set between 11 and 12 percent, which is significantly lower than rates offered by commercial banks. This is seen as a promising initiative that will attract key private sector players and trigger investment activities to help reduce Nigeria’s housing deficit, currently estimated at 21 million,” stated TDF.
The group acknowledged that several administrations, including the present one, have been involved in different housing projects in Nigeria. However, it views this initiative as a significant step in the development of the real estate sector. “For us, it aligns with President Bola Tinubu’s Renewed Hope Agenda, especially as it is structured to mobilize private sector investment in the housing sector. Including pensioners among the beneficiaries will further discourage civil and public servants from the temptation of misappropriating funds to build homes after retirement, thereby reducing the propensity for corruption in government,” TDF noted.
Additionally, TDF highlighted that the scheme would reduce risks for private lenders, improve regulatory oversight, and ensure compliance with quality regulations.