Reps approve $516m foreign loan for Tinubu’s Sokoto-Badagry superhighway project

The House of Representatives has approved President Bola Tinubu’s request to secure a $516.33 million foreign loan for the construction of the first phase of the proposed Sokoto-Badagry Superhighway, a flagship infrastructure project under the administration’s Renewed Hope Agenda.

The approval was granted during Tuesday’s plenary session presided over by Speaker Tajudeen Abbas, paving the way for the Federal Government to access the funding facility arranged through Deutsche Bank with support from the Islamic Development Bank’s insurance arm.

The ambitious highway project, which has remained a national proposal for decades, is designed to connect Nigeria’s North-West region to the South-West commercial corridor through a modern dual carriageway stretching from Illela in Sokoto State to Badagry in Lagos State.

According to details presented before lawmakers, the superhighway will cut across Sokoto, Kebbi, Niger, Kwara, Oyo, Ogun and Lagos states, creating what government officials described as a major economic and logistics corridor capable of boosting trade, agriculture and industrial development.

President Tinubu, in a communication to the House, stated that the project would strengthen regional trade under the African Continental Free Trade Area (AfCFTA), reduce transportation costs and improve access between food-producing regions and export corridors.

The approved facility will finance Section I, Phases 1A and 1B of the project, while the Federal Government is expected to provide counterpart funding estimated at over ₦265 billion for land acquisition, compensation payments and relocation of utilities.

Lawmakers were informed that the loan arrangement carries a nine-year repayment duration, including a three-year grace period.

Officials also disclosed that the superhighway would be built using reinforced concrete pavement technology aimed at increasing durability and reducing long-term maintenance costs.

The design includes provisions for future rail infrastructure along the median corridor, installation of fibre optic cables and other utility lines, as well as solar-powered street lighting across sections of the route.

Chairman of the House Committee on Aids, Loans and Debt Management, Abdullahi El-Rasheed, defended the borrowing plan during deliberations, insisting that strategic infrastructure financing was necessary for economic expansion.

He argued that the project should be viewed as a long-term investment capable of generating productivity, improving interstate commerce and supporting repayment obligations.

Despite the approval, concerns persist among opposition figures and economic analysts over Nigeria’s rising debt profile, especially amid ongoing debates about government borrowing and fiscal sustainability.

However, supporters of the project maintain that the Sokoto-Badagry corridor could become one of the country’s most transformative transport networks once completed, with projections indicating that travel time between Sokoto and Lagos may reduce from about 13 hours to nearly six hours.

Construction activities on the initial sections of the highway are expected to intensify following the legislative approval.