NIGERIA SECURES $747M LOAN FOR LAGOS-CALABAR COASTAL HIGHWAY PROJECT
Abuja, Nigeria – The Federal Government has secured a $747 million syndicated loan to finance the construction of the Lagos-Calabar Coastal Highway, a flagship project under the Renewed Hope Infrastructure Development Agenda.
According to a statement issued by the Ministry of Finance, the loan will finance Phase 1 Section 1 of the project, stretching 47 kilometers from Victoria Island to Eleko Village in Lagos. The project is expected to boost regional trade, logistics, and tourism.
Deutsche Bank acted as Global Coordinator, Initial Mandated Lead Arranger, and Bookrunner for the deal. Other lenders in the syndicate include First Abu Dhabi Bank, African Export-Import Bank, ECOWAS Bank for Investment and Development, Nexent Bank N.V., and Zenith Bank.
The Islamic Corporation for the Insurance of Investment and Export Credit also provided partial political and commercial risk insurance. The 47km stretch under construction is being built using Continuously Reinforced Concrete Pavement, a technology designed for high durability and minimal maintenance over a projected 50-year lifespan.
Finance Minister Wale Edun said the transaction reflects growing investor confidence in the country’s economic reforms and infrastructure plans. “This deal reflects the success of our macroeconomic reforms and the return of international capital to support Nigeria’s development,” he said.
The minister added that the transaction is a model of the government’s vision for sustainable, transparent, and catalytic infrastructure financing. “It positions the country as being ready for a full transition to the design, development, financing, as well as operations and management of critical public infrastructure through Public Private Partnerships,” Edun said.
Minister of Works, David Umahi, described the financing deal as a boost to the administration’s reform agenda. “This transaction is a vote of confidence in Nigeria’s economic reform agenda,” he said.
The managing director of Hitech Construction Company, Dany Abboud, expressed pride in the project’s pace and standards. “We are proud to deliver this historic project,” he said. “With over 70 percent of Phase 1 Section 1 complete, we are showing that Nigerian engineering—backed by structured international finance—can meet global standards.”
The CEO of ICIEC, Dr. Khalid Khalafalla, noted that the initiative will drive inclusive development across the region. “This initiative will create employment opportunities, build local capacity, and bolster small and medium-sized enterprises,” he said.
A tolling strategy is being developed to ensure the sustainability of the project once operational. The project is expected to ease congestion, stimulate regional trade, and drive inclusive economic growth.
The Lagos-Calabar Coastal Highway project is a strategic national asset, and the financing deal sets a strong precedent for future public-private infrastructure partnerships.
The deal is a testament to the government’s commitment to accelerating the participation of the private sector in infrastructure financing and development.
The project is expected to have a significant impact on the country’s economy and infrastructure development.
The financing deal is a major milestone in Nigeria’s infrastructure financing, and it reflects the country’s growing attractiveness to international investors.
The project is being built using cutting-edge technology and is expected to meet global standards.
The Nigerian government has emphasized its commitment to sustainable and transparent infrastructure financing.
The deal is expected to boost investor confidence in the country’s economic reforms and infrastructure plans.
The project is a key component of the Renewed Hope Infrastructure Development Agenda, and its completion is expected to have a significant impact on the country’s economy.
The $747 million loan for the Lagos-Calabar Coastal Highway project is a significant development in Nigeria’s infrastructure financing. The project is expected to boost regional trade, logistics, and tourism, and its completion will be a major milestone in the country’s economic development.
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