By Joy Yesufu
President Bola Ahmed Tinubu has formally requested Senate approval for a fresh external borrowing of $516.3 million to finance key sections of the proposed Sokoto–Badagry Super Highway, a flagship infrastructure project under his administration.
The request, conveyed in a letter to Senate President Godswill Akpabio, was read during plenary on Thursday, paving the way for legislative consideration.
According to the President, the loan, expected to be sourced from Deutsche Bank will fund Sections 1, 1A, and 1B of the 1,000-kilometre highway designed to connect Nigeria’s North-West to the South-West corridor.
Tinubu noted that the financing request had already been incorporated into the Federal Government’s borrowing plan earlier approved by the National Assembly, adding that the project aligns with his administration’s Renewed Hope Agenda.
“The Sokoto–Badagry Super Highway is a strategic infrastructure initiative aimed at enhancing national connectivity and economic integration,” the President stated.
He explained that the road project would traverse Sokoto, Kebbi, Niger, Kwara, Oyo, Ogun, and Lagos states, stretching from Illela to Badagry. Upon completion, it is expected to significantly reduce travel time, improve road safety, and lower transportation and logistics costs.
The President further disclosed that the financing arrangement 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 counterpart funding of ₦265.5 billion for land acquisition, compensation, and related infrastructure.
The loan is structured over a nine-year period, including a grace period of up to three years, with an interest rate benchmarked at the SOFR plus 5.3 per cent annually.
Tinubu added that the Federal Executive Council had already approved the financing plan and urged the Senate to expedite its consideration.
On the Senate floor, lawmakers underscored the economic importance of the project, noting that it would boost trade, strengthen food supply chains, and enhance national integration.
They also highlighted that the highway could cut travel time between Sokoto and Lagos from about 13 hours to approximately six hours.
In his remarks, Akpabio described the project as a potential “game changer” for the economy, stressing that borrowing for critical infrastructure is justified where it delivers long-term value and supports economic growth.
The Senate President subsequently referred the request to the Senate Committee on Local and Foreign Debts, directing it to report back within one week for further legislative action.
