In a historic win for Nigerian infrastructure, the federal government has secured a whopping $747 million syndicated loan to finance the first section of the ambitious Lagos–Calabar Coastal Highway—a project that promises to redefine transportation, tourism, and trade across the country’s coastline.
A Milestone in Infrastructure Financing
This isn’t just another road project—it’s the largest syndicated loan for road infrastructure in Nigerian history. Led by Deutsche Bank, this financing deal signals renewed confidence in Nigeria’s economy and infrastructure ambitions.
The loan will fund Phase 1, Section 1 of the highway: a 47-kilometre stretch from Victoria Island to Eleko Village in Lagos. This stretch will serve as the critical foundation of the broader 700-kilometre route that aims to connect Lagos to Calabar, cutting across six coastal states.
Who’s Involved?
The financing package brings together a powerful consortium of international and regional financial institutions:
Deutsche Bank – Lead arranger and global coordinator
First Abu Dhabi Bank – Facility agent and intercreditor agent
African Export–Import Bank (Afrexim)
Abu Dhabi Exports Office (ADEX)
ECOWAS Bank for Investment and Development (EBID)
Nexent Bank N.V.
Zenith Bank Plc (Nigeria’s own contribution)
The loan is backed by the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), providing political and commercial risk insurance—critical for large-scale infrastructure in emerging economies.
Construction: Speed Meets Quality
Construction is already progressing rapidly. Over 70% of the section is completed, and the project uses Continuously Reinforced Concrete Pavement (CRCP) technology—engineered to last at least 50 years with minimal maintenance.
Contractor Hitech Construction Company Ltd. is executing the work under an EPC+F model—handling Engineering, Procurement, Construction, and Financing.
The Lagos–Calabar Coastal Highway will eventually stretch over 700 kilometres, weaving through states like Ogun, Ondo, Delta, Bayelsa, Rivers, Akwa Ibom, and Cross River. The federal government has plans for sustainable tolling systems, service hubs, and eco-sensitive zones along the route.
With Phase 1 already setting new standards, future phases are likely to draw even more global interest and funding.
