Sterling Bank Partners MREIF to Bridge Housing Gap

Sterling Bank has signed a Memorandum of Understanding (MoU) with the Ministry of Finance Incorporated Real Estate Investment Fund (MREIF) to accelerate access to affordable housing finance and deepen homeownership opportunities across Nigeria.

The agreement was sealed at Sterling Bank’s Lagos headquarters on Tuesday, 25 February. Vice President of Consumer Banking at Sterling Bank, David Adebayo, signed on behalf of the bank, while Executive Director of ARM Investment Managers, Mr Mounir Bouba, signed on behalf of ARM, the fund managers for MREIF.

Under the partnership, eligible Nigerians will be able to access mortgage loans at a fixed interest rate of approximately 9.75 per cent per annum, with tenures of up to 20 years. Applicants may obtain up to N100 million to purchase residential properties, with financing covering up to 90 per cent of the property value, requiring as little as 10 per cent equity contribution.

According to the bank, the programme is open to salary earners with verifiable income, business owners with documented financial records, Nigerians in the diaspora, and both new and existing Sterling Bank customers nationwide.

Speaking on the partnership, Adebayo described the initiative as a practical step toward deepening financial inclusion and addressing structural barriers to homeownership in Nigeria. “This collaboration reflects our commitment to providing patient capital that enables more Nigerians to own homes sustainably.

“By combining competitive pricing with longer tenors and high loan-to-value ratios, we are lowering the barriers to homeownership and strengthening financial inclusion”, he said. Also speaking, ARM’s Bouba noted that the partnership demonstrates the power of public-private collaboration in addressing Nigeria’s housing deficit.

“This MoU aligns with broader efforts to make mortgages more affordable and accessible at scale. Through strategic partnerships such as this, we can catalyse private capital, deepen the mortgage market and drive structured solutions to Nigeria’s housing challenge,” he said

Bouba added that MREIF’s initial N10 billion commitment is expected to grow significantly, reflecting strong confidence in Sterling Bank’s capacity to drive uptake and deploy the facility efficiently. He noted that additional funding will be made available as demand scales, positioning the Bank to exceed the initial allocation and deepen its impact on affordable home financing nationwide.

MREIF is a government-backed housing finance vehicle established by the Ministry of Finance Incorporated, the investment arm of the Federal Ministry of Finance. The Fund is designed to expand access to low-interest mortgages, support large-scale housing development and mobilise private investment to help bridge Nigeria’s housing gap.