The House of Representatives has given approval for President Bola Tinubu to secure a $516,333,007 loan through a syndicated facility arranged by Deutsche Bank AG.
Lawmakers endorsed the request during Tuesday’s plenary in Abuja after considering a report presented by Abdullahi Rasheed, deputy chairman of the House Committee on Aids, Loans, and Debts Management.
The funding will go towards developing parts of the Sokoto–Badagry Super Highway, a major infrastructure project linking several states. In his correspondence to the National Assembly, the president sought approval for the $516.3 million facility to support ongoing work on the route.
He explained that the financing, to be provided through Deutsche Bank’s syndicated arrangement, will cover Sections 1, 1A and 1B of the highway, spanning about 120 kilometres. To proceed, he asked the House to grant a resolution in line with Sections 16 and 21 of the Debt Management Office (Establishment) Act, 2011, enabling the Federal Government to access the funds for Sections 1, Phase 1A and Phase 1B.
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The highway forms a central part of the administration’s Renewed Hope Agenda, with projections that it will improve connectivity, ease the movement of goods across key economic routes and reduce travel time. Stretching about 1,000 kilometres, the road will connect Sokoto, Kebbi, Niger, Kwara, Oyo, Ogun and Lagos states, linking Illela to Badagry.
Tinubu further disclosed that the loan will be supported by a partial risk guarantee from the Islamic Corporation for the Insurance of Investment and Export Credit. He added that the Federal Government will commit more than ₦265 billion as counterpart funding to cover land acquisition, compensation and related infrastructure.
The facility is structured over nine years, including a three-year grace period, with interest set at the Chicago Mercantile Exchange SOFR plus 5.3 per cent per annum.
The financing arrangement had earlier secured approval from the Federal Executive Council.