Bola Ahmed Tinubu Seeks Senate Approval Of $516m Loan For Sokoto–Badagry Highway

President Bola Ahmed Tinubu has formally written to the Senate seeking approval for a $516.3 million foreign syndicated loan to support the construction of the Sokoto–Badagry highway.

The request was read during plenary by Godswill Akpabio, asking lawmakers to approve the loan in line with provisions of the Debt Management Office Act to enable the Federal Government secure funding for key phases of the project. The loan facility is to be arranged through Deutsche Bank AG.

The president described the superhighway as a flagship project under his administration’s Renewed Hope Agenda, aimed at improving national connectivity, reducing travel time, and enhancing the movement of goods across major economic corridors.

The proposed 1,000-kilometre road will connect Sokoto, Kebbi, Niger, Kwara, Oyo, Ogun, and Lagos states, linking Illela to Badagry.

The financing plan includes a partial risk guarantee from the Islamic Corporation for the Insurance of Investment and Export Credit, while the Federal Government will provide counterpart funding exceeding ₦265 billion for land acquisition, compensation, and related infrastructure.

According to the proposal, the loan will span nine years, including a three-year grace period, with interest based on the Chicago Mercantile Exchange SOFR plus 5.3 percent per annum. The Federal Executive Council has already approved the arrangement.

Following the presentation, the Senate President referred the request to the Senate Committee on Local and Foreign Debts, directing it to report back within one week.

Akpabio expressed support for the move, noting that borrowing for infrastructure projects can improve road safety and promote national integration.