President Bola Tinubu has commended the successful closure of a $1.26 billion financing deal for Phase 1, Section 2 of the Lagos–Calabar Coastal Highway, describing it as a major boost to Nigeria’s infrastructure drive.
In a statement by his Special Adviser on Information and Strategy, Bayo Onanuga, the president praised the Federal Ministry of Finance, the Ministry of Works, and the Debt Management Office for their collaboration in securing the funding, noting that the achievement would ensure uninterrupted progress on the project.
According to the statement, Tinubu noted that the financing milestone demonstrated his administration’s commitment to exploring innovative funding options for critical national projects. He added that the Lagos–Calabar Coastal Highway remains central to the government’s economic and infrastructure agenda.
Phase 1, Section 2 of the project spans about 55.7 kilometres, linking Eleko in Lekki to Ode-Omi. The section is expected to strengthen key economic corridors, improve logistics efficiency, and enhance national trade connectivity. The financing follows the earlier $747 million secured for Phase 1, Section 1, reinforcing the project’s scalability and attractiveness to international financiers.
The funding package was fully underwritten by First Abu Dhabi Bank (FAB), with risk mitigation support from the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), marking ICIEC’s first Nigerian transaction since recent institutional and regulatory reforms. The structure, the statement noted, reflects growing investor confidence in Nigeria’s reformed investment climate.
SkyKapital served as Lead Financial Adviser on the transaction, while environmental and social advisory services were provided by Earth Active (UK) in line with international ESG standards. Legal advisory roles were handled by Hogan Lovells as International Counsel and Templars as Nigerian Legal Counsel.
Also quoted in the statement, the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, described the deal as a defining moment in Nigeria’s infrastructure journey. He said the funds would be deployed responsibly to ensure timely delivery of the project, adding that the transaction ranks among the largest ICIEC-supported deals since the institution’s inception.
Construction of the highway is being carried out by Hitech Construction Company Limited, whose progress on site has earned commendation from lenders for engineering quality and execution speed.
