Abubakar Talba, justice of an Abuja high court, granted Mohammed bail in the sum of N500m with two sureties in like sum.
He had spent two nights in Kuje prison before his bail.
This followed the judge’s adjournment of ruling on the application for bail to Friday.
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Talba had remanded him in prison pending ruling on the bail application.
The Economic and Financial Crimes Commission (EFCC) on Wednesday arraigned Mohammed before the court over alleged corruption to the tune of N550m.
But the minister pleaded not guilty to the charges, setting the stage for a trial.
The anti-graft agency, which had earlier arrested Mohammed, filed a seven-count charge of corruption against him.
The EFCC also alleged that he abused his office while he was a minister.
In February, the EFCC arraigned his son, Shamsudeen, before a federal high court, Abuja, for alleged money laundering.
He spent a few days in Kuje prison before he was granted bail in the sum of N100m.
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