By RismadarVoice Media
December 26, 2025
President Bola Ahmed Tinubu has commended the Federal Ministry of Finance, other key stakeholders for successfully closing USD 1.126 billion in financing for Phase 1, Section 2 of the Lagos–Calabar Coastal Highway, describing the development as a major milestone in Nigeria’s infrastructure drive.
The President praised the collaborative efforts of the Ministries of Finance and Works, as well as the Debt Management Office, noting that the transaction guarantees the uninterrupted execution of one of Africa’s most ambitious and transformative road projects.
“This is a major achievement, and closing this transaction means the Lagos–Calabar Coastal Highway will continue unimpeded. Our administration will continue to explore available funding opportunities to execute critical economic infrastructural projects across the country,” President Tinubu said.
Phase 1, Section 2 of the project spans about 55.7 kilometres, linking Eleko in Lekki to Ode-Omi, a strategic economic corridor expected to significantly boost trade efficiency and logistics connectivity nationwide. The latest financing follows the earlier USD 747 million secured for Phase 1, Section 1, reinforcing the project’s scalability, strong bankability.
The transaction was fully underwritten by First Abu Dhabi Bank (FAB) and Afreximbank, with partial risk mitigation provided by the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC).
It also represents ICIEC’s largest supported transaction since Nigeria’s recent institutional and regulatory reforms, reflecting growing investor confidence in the country’s reformed investment climate.
SkyKapital served as Lead Financial Advisor, while Earth Active (UK) provided Environmental, Social advisory services to ensure compliance with international ESG standards, including the IFC Performance Standards and the Equator Principles.
Legal advisory services were led by Hogan Lovells as International Counsel and Templars as Nigerian Legal Counsel.
Describing the deal as a “defining moment,” the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, said the funds would be deployed responsibly to ensure timely delivery of the project.
He noted that the signing of the financing agreement on December 19, 2025, alongside the earlier Phase 1, Section 1 financing, firmly positions the Lagos–Calabar Coastal Highway as a flagship project of President Tinubu’s Renewed Hope Agenda.
Construction of the highway is being carried out by Hitech Construction Company Limited, whose progress and early opening of key sections have earned commendation from lenders for engineering excellence, execution speed.
In line with the Federal Government’s commitment towards transparency, fiscal discipline, a comprehensive Value-for-Money assessment was conducted by the Federal Ministry of Works, with independent confirmation by GIBB.
The successful close of Phase 1, Section 2 further underscores Nigeria’s capacity to translate reform into delivery, reinforcing market confidence, advancing the nation’s long-term infrastructure and economic development goals.
