Umahi: International Lenders Eager to Fund Lagos-Calabar Coastal Road Project

.President Tinubu to inaugurate completed section, other signature projects today

Melissa Enoch

The Minister of Works, David Umahi, has said the Lagos-Calabar Coastal Highway project is delivering better value than its official price tag as it draws increasing attention and praises from international development banks.

Umahi also in a statement said he secured President Bola Tinubu’s approval to perform today’s inauguration of the completed part of Phase I, Section I (30 km of 750 km) Lagos-Calabar Coastal Highway scheduled to take place at KM 8 of the project in Jakande Estate area of Lagos State.

Speaking in an interview with ARISE NEWS yesterday, Umahi said the federal government was yet to secure a loan for the massive infrastructure project after footing 30 per cent of the bill, noting that its rapid progress and cost-efficiency had started catching the attention of global financial institutions who are eager to fund the project.

Umahi quoted representatives of Deutsche Bank and the Development Bank of Southern Africa, who toured the project a few weeks ago and were impressed by its progress.

According to them, the project is undervalued, a reflection, he said, of the project’s ability to deliver high-quality results at a lower-than-expected cost.

“As of today, we have not secured one global loan on the project,” Umahi said, adding “Hitech had invested their money and that job is about 80 per cent done.”

The minister emphasised that the prospects of getting funding are great.

“Two development banks that are also funding the loan component of the project, were with us in Abuja, and we came to Lagos to look at the project. And I know that praises resonated at the World Bank Conference in the US before the Honourable Minister of Finance, where they praised the project and they praised Mr. President for his reforms, and in particular this project. So when the Deutsche Bank people came, and the Development Bank of Southern Africa, they marvelled at the rate of construction, the quality of work, and the innovative ideas of Mr. President in insisting that this will be done. I quote what they said, that the project was undervalued.”

Addressing funding concerns, Umahi explained that Section One of the road, covering 47 kilometres, was awarded at N1.068 trillion, with only 30 per cent of the amount committed so far by the federal government. While Section Two, worth N1.33 trillion, has seen a similar 30 per cent commitment, with the remaining 70 per cent intended to come from yet-to-be-secured loans.

“When you come to section two, it’s 1.33 trillion, and we have only committed 30 per cent of the cost of that project. The 70 per cent is the loan component, and that loan component has not come. That’s why the development partners came, the Deutsche Bank and the Development Bank of Southern Africa. They came, and they were very much interested. Today, a lot of others… African Development Bank, Islamic Bank, are coming knocking for us to interact with them. They’re interested, seeing what we have done.”

Despite funding gaps, the minister stressed that 30 kilometres has already been completed — well ahead of the 36-month timeline — positioning the coastal road as a high-impact, efficiently managed project likely to attract even more international investment.

“By December, I strongly believe that we would have completed Section One. Section one is supposed to be for 36 months. But this 30 kilometre we’ve completed, it’s been done within one year, 12 months.”

A statement by the minister’s Special Adviser on Media, Orji Uchenna Orji, said the President, who is also the initiator and actualiser of the historic project, is expected  to virtually inaugurate other completed Renewed Hope signature projects within Southern Nigeria, including the: Construction of Lagos -Calabar Coastal Road Corridor (Phase 1 Section 1: Ahmadu Bello to Eleko Village Area in Lekki Peninsula (Ch.0+000 – CH47 +474; 47.474km), Contract No. 8438. (First 30Km). Contractor: Messrs. Hitech Construction Limited. Project Length: 30km. 

The dualisation of East-West Road Section II (Sub Section I) Eleme Junction in Port Harcourt – Ahoada in Rivers State. Contractor: Setraco Nig Ltd. Project Length: 47 x 2 (94KM);  rehabilitation, reconstruction and expansion works on Lagos-Ibadan Dual Carriageway, Phase 1, Section II, (Shagamu-Ibadan), C/No. 6205 in Ogun and Oyo states. Contractor: RCC Nigeria Limited. Project Length: 83.4 X 2 (166.8KM); rehabilitation of Alesi – Ugep (Iyamoyung-Ugep) Section in Cross River State C/No. 6263. Contractor: Sermatec Nigeria Limited Project Length: 67.1km; and reconstruction of Collapsed Enugu Bridge at New Artisan Market Enugu – Portharcourt Road in Enugu State C/No. 8494(Single Carriageway). Contractor: Messrs. CCECC Nigeria Ltd Project Length: 75m (3-Span, Dual Bridge). 

Others include the construction of new bridge at Akpoha in Ebonyi State to replace the near collapse bridge, Contract No. 8469. Contractor: Messrs. CCECC Nigeria Ltd Project Length: 75m (3-Span, Single Carriageway); rehabilitation of Enugu – Port Harcourt Expressway, Section III: Enugu – Lokpanta in Enugu State, Contract No. 6251, ( First 16Km, Single Carriageway). Contractor: Project Length: 61km; rehabilitation of Ikorodu – Shagamu Road in Lagos/Ogun States, Contract No. 6289A Contractor: Arab Contractors O. A. O. Nig. Ltd. Project Length: 30.4km; upgrading of 15km Section of the East – West Road from PH(Eleme Junction) – Onne Port Junction in River State, Contract No. Id/701. (First 15Km). Contractor: RCC Nigeria Limited. Project Length: (15km of Eket Bound Single Carriageway); and rehabilitation and Expansion of Lagos – Badagry Expressway Agbara Junction – Nigeria/Benin Border in Lagos State, C/No. 6513. Contractor: CGC Nigeria Limited. Project Length: 24.30km x 2 

The statement further said, “He is to also flag-off some awarded projects, including: Ibadan Ife-Ilesha-Akure-Benin Road in Oyo, Osun, Ondo and Edo States, construction of Nembe – Brass Road, construction of a section of Enugu and Onitsha Carriageway total length – 107km, Abakpa flyover in Enugu State. 

“The Coastal Highway, which was his initiative 27 years ago with an enduring vision to expand the transportation ecosystem, improve accessibility along the coastal communities of nine states, foster regional integration and social cohesion, and stimulate inclusive development that is resilient and sustainable is one of the four Renewed Hope Legacy Projects started by Mr. President. Today, as the President and Commander-in-Chief of the Armed Forces of the Federal Republic of Nigeria, a dream conceived has become a dream actualised. 

“The Honourable Minister of Works succinctly captured the making of Lagos-Calabar Coastal Highway as a Renewed Hope signature project and a signpost of holistic road infrastructure transformation that will be a reference point and flagship of excellence in the continent of Africa. In his words,” If Lagos-Calabar Coastal Highway could be this beautiful, how will the streets of heaven be.” This underscores the strength of the road architecture and the beauty of its esthetics. 

“The Honourable Minister of Works, together  with the Honourable Minister of State for Works, Rt. Hon. Bello Muhammad Goronyo Esq has made all necessary arrangements to receive the invited dignitaries who are coming  to witness the making of Lagos-Calabar Coastal Highway, including governors of various states,(especially Coastal States) National Assembly members, Honourable Minister of the Federal Republic of Nigeria, heads of Agencies and parastatals and development partners, who have been invited to witness  the making of the coastal highway. The Honourable Minister wishes them journey mercies as they come to join in giving our visionary President a rousing welcome in the Centre of Excellence.