President Bola Tinubu has requested Senate approval for a fresh external borrowing of $516,333,070 to finance sections of the proposed Sokoto–Badagry Super Highway, a flagship infrastructure project under his administration’s Renewed Hope Agenda.
In a letter addressed to Senate President Godswill Akpabio and read during plenary on Thursday, the President explained that the loan would be sourced from Deutsche Bank as a syndicated financing facility to support construction of Sections 1, 1A and 1B of the 1,000-kilometre highway linking Nigeria’s North-West and South-West corridors.
According to the proposal, the highway will stretch from Illela in Sokoto State through Kebbi, Niger, Kwara, Oyo, Ogun, and Lagos States, improving connectivity across major economic zones. The project is expected to reduce travel time between Sokoto and Lagos from about 13 hours to approximately 6 hours, while enhancing trade, logistics, and food security.
Tinubu also disclosed 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. The Federal Government will also provide counterpart funding of ₦265.5 billion for land acquisition, compensation, and related infrastructure.
He added that the loan carries a nine-year tenor with a grace period of up to three years, and an interest rate benchmarked against the Chicago Mercantile Exchange SOFR plus 5.3 per cent per annum.
Lawmakers in the Senate described the project as a major economic intervention with potential to boost regional integration, reduce transport costs, and improve safety along the corridor. Senate President Akpabio supported the proposal, noting that borrowing for critical infrastructure is justified when it delivers long-term economic value and productivity gains.
He referred the request to the Senate Committee on Local and Foreign Debts, directing it to report back within one week for further legislative consideration, urging expedited review to ensure timely approval.
The administration maintains that the Sokoto–Badagry Super Highway is central to its national infrastructure plan aimed at linking production hubs to ports, strengthening regional commerce and promoting national cohesion across Nigeria. It is also expected to attract private investment and stimulate long-term economic growth nationwide over time.
