The Nigerian Senate on Wednesday approved a $516 million syndicated loan request by President Bola Tinubu to fund the construction of Sections 1, Phases 1A and 1B of the Sokoto–Badagry Super Highway.
The approval followed the consideration of a report presented during plenary by the Senate Committee on Local and Foreign Debts, chaired by Aliyu Wamakko, which recommended the inclusion of the loan in the Federal Government’s borrowing plan.
According to the committee, the financing arrangement—facilitated by Deutsche Bank AG—comes with a partial guarantee from the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC). The loan has a tenure of nine years, including a grace period of up to three years.
During deliberations, lawmakers underscored the strategic significance of the project. Senator Tahir Monguno noted that the highway would connect three geopolitical zones and significantly reduce travel time between northern and southern Nigeria.
President of the Senate, Godswill Akpabio, explained that an earlier financing plan had stalled due to escalating conflict in the Middle East, which affected arrangements through Abu Dhabi.
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He emphasised that securing alternative funding would fast-track the execution of the project and support broader economic development.
Beyond transportation, Akpabio highlighted the highway’s potential to boost agricultural productivity by improving access to markets, supporting dam development, and strengthening the agricultural value chain.
The Senate’s resolution is expected to be transmitted to the President for final action.
The proposed 1,000-kilometre Sokoto–Badagry Super Highway is a flagship project under the administration’s Renewed Hope Agenda.
It is designed to enhance national connectivity, reduce travel time, and improve the movement of goods across key economic corridors, linking states including Sokoto, Kebbi, Niger, Kwara, Oyo, Ogun, and Lagos.
The Federal Government is also expected to provide counterpart funding exceeding ₦265 billion to cover land acquisition, compensation, and related infrastructure.