By Chibuike Nwabuko
ABUJA (Precise Post) – The Senate Committee on Housing and Urban Development is collaborating with the Ministry of Finance Incorporated (MOFI) to tackle the country’s housing deficit.
Chairman of the Committee, Sen. Aminu Tambuwal, made the announcement during an interactive session with MOFI’s Managing Director, Dr. Armstrong Takang, and his team in Abuja on Friday. The session aimed to discuss MOFI’s role in addressing Nigeria’s housing challenges, particularly through its oversight of the Federal Mortgage Bank (FMB).
MOFI, established by an act of Parliament in 1959, manages the Federal Government’s corporate investments. Sen. Tambuwal highlighted that MOFI’s access to N1 trillion in funding would be directed toward the housing sector, emphasizing the importance of the initiative. He expressed confidence that committee members are committed to supporting this partnership.
Dr. Takang pointed out that Nigeria faces a housing deficit of over 20 million units, with fewer than 100,000 active mortgages across the country. He explained that the lack of a robust mortgage system has hindered homeownership, creating challenges for developers to secure investment for housing projects.
To address these issues, MOFI is leveraging its status and assets to raise substantial financing from both the public and private sectors. This initiative includes the creation of the MOFI Real Estate Investment Fund (MREIF), designed to pool federal government resources with private sector funds to tackle both demand and supply challenges in the housing market.
With approval from the Securities and Exchange Commission, the initial phase of the fund has been established with N250 billion, part of the larger N1 trillion goal aimed at improving the housing sector.
