President Bola Tinubu has commended the Federal Ministry of Finance for securing $1.26 billion in financing for Phase 1, Section 2 of the Lagos-Calabar Coastal Highway, describing it as a pivotal step in delivering Africa’s most ambitious infrastructure project.
Bayo Onanuga, Special Adviser to the President on Information and Strategy, disclosed this in a State House press release on Friday, praising the collaborative efforts of the Ministries of Finance and Works, alongside the Debt Management Office. President Tinubu noted that the federal government would pursue innovative funding mechanisms to drive critical economic and infrastructural initiatives nationwide.
“This is a major achievement, and closing this transaction means the Lagos-Calabar Coastal Highway will continue unimpeded,” the President stated. “Our administration will continue to explore available funding opportunities to execute critical economic and infrastructural projects across the country.”
The 55.7-kilometre stretch links Eleko in Lekki to Ode-Omi, bolstering trade efficiency and logistics in vital economic corridors. This follows the earlier $747 million financing closure for Phase 1, Section 1 on July 9, 2025, underscoring the project’s bankability.
First Abu Dhabi Bank fully underwrote the facility, with risk mitigation from the Islamic Corporation for the Insurance of Investment and Export Credit—its inaugural Nigerian deal post-reforms. SkyKapital served as lead financial advisor, Earth Active (UK) handled environmental and social advisory in line with IFC standards and Equator Principles, while Hogan Lovells and Templars provided legal counsel.
Finance Minister and Coordinating Minister of the Economy, Wale Edun, called the December 19, 2025, signing a “defining moment in Nigeria’s infrastructure journey.” He highlighted its scale as the largest fully underwritten road project financing in Nigeria, backed by FAB ($262 million), Afreximbank ($500 million), and ICIEC coverage, cementing the highway as a flagship under the Renewed Hope Agenda.
Hitech Construction Company Limited leads execution, earning lender acclaim for swift progress, engineering prowess, and early road openings. A Value-for-Money assessment by SkyKapital, verified by GIBB, aligns with federal transparency pledges.
