The Democratic Front (TDF) says the N100bn Ministry of Finance Incorporated (MOFI) Real Estate Investment Fund is a creative initiative by the Tinubu administration to ensure affordable housing options for low-income individuals and families.
The advocacy group said, in a statement on Sunday by Malam Danjuma Muhammad, its Chairman, it was convinced 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 show of commitment by President Bola Tinubu to increase accessibility to homeownership for Nigerians.
“The benefits contained in the financing scheme for affordable mortgage loans are obvious.
“It has a repayment period of up to 25 years and an interest rate set at between 11 and 12 per cent, which is significantly lower than the rates offered by commercial banks.
“So, we see it as a good initiative that will attract key private sector players, and trigger investment activities that will help reduce Nigeria’s housing deficit, currently put at 21 million,” said TDF.
The group acknowledged that several administrations, including the present one, had been involved in different housing projects in the country, but saw this initiative as a notable one in the development of the real estate sector of the economy.
“For us, it aligns with President Bola Tinubu’s Renewed Hope Agenda, especially as it is structured to mobilise private sector investment in the housing sector.
“The inclusion of pensioners on the list of beneficiaries will further discourage civil and public servants from the temptation of stealing public funds to build homes after retirement, thereby reducing the propensity for corruption in government,” TDF said.
It said the scheme would reduce risks for private lenders, improve regulatory oversight and ensure compliance quality regulations. (NAN)
