Over the past two years more than 1,200 Muslims and Christians from rival ethnic groups have been killed in violence in and around Jos - a situation that has shattered lives and left many people homeless or displaced.
"The foundation's aim is to get people back on their feet, and hopefully raise the aspirations of the affected people," Mikel told BBC Sport.
"I grew up in Jos. It wasn't easy for me as a kid, and to watch people going through a tougher situation now is just unbearable."Some people have been very lucky but some are not, so it will be to get them to do something positive after these setbacks."
"I intend to make this a lifetime thing if it achieves its purpose. I have been in talks with other NGOs and have approached a number of corporate organisations.
"Hopefully, they'll see that they can get involved with The Mikel Obi Foundation," he said.
Mikel wants to expand the activities of his charity for the needy across the country, but said that the foundation will start its work in Jos.
"Nigeria is a huge country; it's one step at a time. It will start in Jos and, gradually, we'll take it everywhere with time.
"There are plans to support former footballers who fell on hard times, but that is only being discussed for now.
"I've been getting positive feedback from those we've approached. I'm confident there are lots of opportunities available for them to join in."
Former Nigeria captain Nwankwo Kanu, a Unicef Nigeria Goodwill Ambassador, set up the Kanu Heart Foundation in July 2000 to address the problem of heart-related diseases in Africa.
Other Nigerian players who recently set up foundations in their country include Joseph Yobo and John Utaka.
Others, such as Ikechukwu Uche, Taye Taiwo and Emmanuel Emenike, often visit charity homes during their break from European football to make donations.