President Bola Tinubu has announced the successful $1.26 billion financing closure for Phase 1, Section 2 of the Lagos–Calabar Coastal Highway. This landmark deal, fully underwritten by First Abu Dhabi Bank (FAB) with risk mitigation from the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), signals a significant resurgence in international investor confidence. Spanning 55.7 kilometers from Lekki to Ode-Omi, this section follows the $747 million facility previously secured for Section 1, establishing the highway as a flagship of the “Renewed Hope Agenda.”
The transaction represents Nigeria’s first fully underwritten road infrastructure financing of this magnitude. It utilizes a sophisticated risk-sharing model involving Afreximbank and marks the largest ICIEC-supported transaction in its history. Strategic advisory from SkyKapital ensured the deal met rigorous Value-for-Money assessments, while Earth Active provided environmental and social oversight to align the project with IFC Performance Standards and Equator Principles.
Construction, led by Hitech Construction Company Limited, is already progressing rapidly. The project is expected to revolutionize trade efficiency and logistics connectivity along Nigeria’s coastal economic corridors. By moving from vision to execution, this deal demonstrates the bankability of large-scale Nigerian infrastructure through innovative financing and institutional reform, setting a new benchmark for future regional development projects.
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