President Bola Tinubu has praised the successful completion of a $1.26 billion financing arrangement for Phase One, Section Two of the Lagos–Calabar Coastal Highway, describing it as a significant step forward in Nigeria’s infrastructure development efforts.
In a statement released on Friday by his Special Adviser on Information and Strategy, Bayo Onanuga, the President commended the collaborative efforts of the Federal Ministry of Finance, the Ministry of Works and the Debt Management Office in securing the funding. Tinubu noted that the seamless coordination among the agencies underscored his administration’s resolve to deliver large-scale infrastructure projects through innovative and sustainable financing models.
According to the President, the closure of the financing deal guarantees steady progress on the coastal highway, eliminating concerns about delays associated with funding gaps. He reiterated that the Lagos–Calabar Coastal Highway remains a cornerstone of his government’s economic and infrastructure agenda, with far-reaching implications for trade, mobility and national integration.
Onanuga described the project as one of the administration’s most ambitious undertakings, stressing that its long-term benefits would silence critics who have questioned its relevance and cost. He noted that upon completion, the highway would significantly transform transportation along Nigeria’s coastal corridor, opening up new economic opportunities for communities and businesses.
Phase One, Section Two of the project covers approximately 55.7 kilometres, stretching from Eleko in the Lekki axis of Lagos State to Ode-Omi. The corridor is considered strategically important, as it is expected to ease the movement of goods and people, improve logistics efficiency and strengthen connections between key economic zones.
The latest financing follows an earlier $747 million facility secured for Phase One, Section One, further demonstrating the project’s scale and appeal to international lenders. The funds were fully underwritten by First Abu Dhabi Bank and the African Export-Import Bank (Afreximbank), with partial risk coverage provided by the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC).
Notably, the transaction represents ICIEC’s largest deal since Nigeria implemented major institutional and regulatory reforms, a development widely seen as a positive signal of renewed investor confidence in the country’s investment environment.
President Tinubu reaffirmed his administration’s commitment to exploring diverse funding options to ensure the timely execution of priority projects nationwide, adding that the Lagos–Calabar Coastal Highway is expected to be completed within eight years.
