The presidency on Friday announced that Nigeria has secured USD 1.26 billion in financing for Phase One, Section Two of the Lagos-Calabar Coastal Highway. President Bola Tinubu commended the Ministries of Finance and Works, and the Debt Management Office (DMO) for their collaboration on the transaction.
Tinubu stated that the federal government would continue to explore innovative financing options for critical infrastructure projects nationwide. “This is a major achievement, and closing this transaction means the Lagos-Calabar Coastal Highway will continue unimpeded,” he said, adding that his administration remains committed to funding economic and infrastructural projects across the country.
Finance Minister Wale Edun revealed that the loan deal was signed on December 19, 2025, and assured that the funds would be deployed responsibly to ensure timely completion of the project. He noted that the deal follows the successful USD 747 million financing for Phase One, Section One, signed on July 9, 2025.
Edun added that the latest transaction is the first fully underwritten financing of this scale for a Nigerian road project. The facility was underwritten by First Abu Dhabi Bank (USD 262 million) and Afreximbank (USD 500 million), with partial coverage from ICIEC, marking the largest ICIEC-supported deal since its creation.
Phase One, Section Two of the highway spans approximately 55.7 kilometres, linking Eleko in Lekki to Ode-Omi. SkyKapital acted as Lead Financial Advisor, with Earth Active (UK) providing Environmental and Social advisory services, while Hogan Lovells and Templars handled international and Nigerian legal counsel respectively. A value-for-money assessment was conducted by SkyKapital and independently verified by GIBB Holdings.
Minister of Works David Umahi previously stated that Phase One of the project would be completed by May 29, 2025. Tinubu inaugurated the completed 30km Section One of Phase One on May 31, 2025, marking a significant milestone in the Lagos-Calabar Coastal Highway project.