President Bola Tinubu has requested Senate approval for a $516,333,070 external loan to finance sections of the proposed Sokoto–Badagry Super Highway, a key infrastructure project under his administration.
The request, contained in a letter to Senate President Godswill Akpabio, was read during Thursday’s plenary, paving the way for legislative review.
Tinubu said the facility, to be sourced from Deutsche Bank, will fund Sections 1, 1A and 1B of the 1,000-kilometre highway aimed at linking Nigeria’s North-West to the South-West.
The letter partly read, “Specifically, approval is sought for the syndicated financing facility from Deutsche Bank in the total sum of US$516,333,007 for the execution of Sections 1, 1A, and 1B of the Sokoto–Badagry Superhighway Project.
“The inclusion of the said financing in the Federal Government’s borrowing plan, as earlier approved by the National Assembly. The Senate is invited to note that the Sokoto–Badagry Superhighway is a flagship infrastructure initiative under the Renewed Hope Agenda.”
The President explained that the highway will pass through Sokoto, Kebbi, Niger, Kwara, Oyo, Ogun, and Lagos states, stretching from Illela to Badagry, and is expected to significantly improve connectivity and economic integration.
“The project is designed to open up Nigeria’s northwest–southwest economic corridor through the construction of an approximately 1,000-kilometre high-capacity carriageway, linking Sokoto, Kebbi, Niger, Kwara, Oyo, Ogun, and Lagos States, stretching from Illela to Badagry.
“It is also expected to enhance north–south connectivity and road safety, improve network performance along the corridor, reduce logistics costs and travel time, facilitate trade and strengthen food security and promote national integration by linking production zones to markets and ports,” he stated.
Tinubu added that the financing plan includes a syndicated loan backed by a partial risk guarantee from the Islamic Corporation for the Insurance of Investment and Export Credit, while the Federal Government will provide ₦265.5 billion as counterpart funding for land acquisition, compensation, and related infrastructure.
He noted that the loan has a nine-year tenure, including a grace period of up to three years, with interest tied to the Chicago Mercantile Exchange SOFR plus 5.3 per cent annually.
The President said the Federal Executive Council has already approved the arrangement and urged the Senate to expedite its consideration.
“I look forward to the expeditious consideration and approval of this request by the Senate. Please accept, Distinguished Senate President and Distinguished Senators, the assurances of my highest regards,” the statement added.
During plenary, lawmakers highlighted the economic value of the project, noting that it would cut travel time between Sokoto and Lagos from about 13 hours to six hours.
Akpabio described the highway as a major economic driver capable of boosting productivity and saving lives, adding that borrowing for critical infrastructure is justified when it delivers long-term benefits.
The Senate President referred the request to the Senate Committee on Local and Foreign Debts, directing it to report back within one week while urging a swift review.
