President Bola Tinubu has requested Senate approval for a fresh external loan of $516,333,070 to finance key sections of the proposed Sokoto–Badagry Super Highway, one of the flagship infrastructure projects under his administration.
The request was contained in a formal letter read during plenary on Thursday by Senate President Godswill Akpabio, officially bringing the financing plan before lawmakers for consideration.
According to the proposal, the funding will be sourced from Deutsche Bank and directed toward the construction of Sections 1, 1A, and 1B of the massive 1,000-kilometre highway linking Nigeria’s north-western region to the south-west.
Tinubu described the project as a central component of the Renewed Hope Agenda, designed to transform national connectivity and improve economic integration across regions.
The proposed highway will stretch from Illela in Sokoto State to Badagry in Lagos State, passing through Kebbi, Niger, Kwara, Oyo, and Ogun States along a key north–south corridor.
The President argued that the project is expected to significantly reduce travel time, improve road safety, lower logistics costs, and strengthen trade routes between production zones and major commercial ports.
He also noted that the financing structure 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 contribute ₦265.5 billion as counterpart funding for land acquisition and compensation.
The loan facility is projected to run for nine years, including a grace period of up to three years, with interest tied to the Chicago Mercantile Exchange SOFR benchmark plus 5.3 per cent annually.
Tinubu further disclosed that the Federal Executive Council had already approved the financing arrangement, urging the Senate to fast-track its consideration.
On the Senate floor, lawmakers highlighted the economic importance of the project, noting that it would improve connectivity between the north and south and reduce travel time between Sokoto and Lagos from about 13 hours to roughly six hours.
Senate President Godswill Akpabio described the highway as a potential “game changer” for national development, arguing that borrowing for infrastructure is justified when it delivers long-term economic value and productivity gains.
The Senate has referred the request to its Committee on Local and Foreign Debts, which has been directed to report back within one week for further legislative action.
The proposed highway remains one of the largest road infrastructure projects under the current administration, with expectations that it could reshape trade and mobility across Nigeria’s key economic zones if completed.
