The House of Representatives has approved President Bola Tinubu's request to borrow $516,333,700 in syndicated financing from Deutsche Bank AG to fund sections of the Sokoto-Badagry Super Highway. The approval came during plenary on Tuesday after a report by deputy chairman of the House Committee on Aids, Loans, and Debts Management, Abdullahi Rasheed. The 1,000-kilometre road will link seven states from Sokoto to Lagos. The loan has a nine-year term with a three-year grace period. The Federal Government will provide over ₦265 billion counterpart funding for land acquisition.
Key Points
- The highway promises faster travel and improved goods movement across seven states.
- Nigerian taxpayers bear future debt repayment plus ₦265bn counterpart funding.
- A nine-year loan with SOFR plus 5.3% interest adds to Nigeria's external debt profile.
- The project is a flagship of Tinubu's Renewed Hope Agenda for infrastructure.
- Communities along the corridor may face displacement for land acquisition.
Watch for the Senate's concurrence on the loan and when construction work on the 120-kilometre initial sections begins.
Sources: Channels Television
