The House of Representatives has approved President Bola Ahmed Tinubu’s request to secure a $516,333,007 syndicated loan from Deutsche Bank AG to fund sections of the Sokoto–Badagry Super Highway.
The approval was granted during plenary on Tuesday in Abuja following the presentation of a report by the Deputy Chairman of the House Committee on Aids, Loans and Debt Management, Abdullahi Rasheed.
According to the President’s request, the facility will finance Sections 1, 1A, and 1B of the project, covering approximately 120 kilometres of the highway.
Tinubu had earlier written to lawmakers seeking legislative backing in line with Sections 16 and 21 of the Debt Management Office (Establishment) Act, 2011, to enable the Federal Government secure the financing.
The loan is structured as a nine-year facility with a three-year grace period, and carries an interest rate pegged at the Chicago Mercantile Exchange SOFR plus 5.3 per cent per annum.
The Sokoto–Badagry Super Highway is a flagship initiative under the administration’s Renewed Hope Agenda, aimed at improving connectivity and facilitating the movement of goods across major economic corridors.
The 1,000-kilometre project is designed to link key states including Sokoto, Kebbi, Niger, Kwara, Oyo, Ogun, and Lagos, stretching from Illela to Badagry.
The financing arrangement will be supported by a partial risk guarantee from the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC).
In addition to the external loan, the Federal Government is expected to provide over ₦265 billion as counterpart funding to cover land acquisition, compensation, and related infrastructure costs.
The financing plan had earlier received approval from the Federal Executive Council, paving the way for legislative endorsement by the House.
