The Tinubu administration has secured a fresh $747 million (₦1.2 trillion) loan to fund the Lagos-Calabar coastal highway—the same multi-trillion naira project controversially handed to Gilbert Chagoury, a close ally of Tinubu, for over ₦15 trillion earlier this year.
The announcement, made on Tuesday by the Ministry of Finance, has reignited public criticism over the ballooning cost of the highway, which many Nigerians believe is being used as a political reward and a debt trap disguised as infrastructure.
“The facility is a strong signal of global investor confidence in the country’s reform trajectory,” said Mohammed Manga, spokesperson for the ministry, in a statement that appeared more celebratory than cautious, despite the implications of the new borrowing.
The loan is being coordinated by Deutsche Bank and includes support from First Abu Dhabi Bank, Afrexim, ADEX, EBID, Nexent Bank, and Zenith Bank—all roped in under what the ministry called an EPC+F model (Engineering, Procurement, Construction + Financing).
The highway project, initially awarded without a competitive open bidding process, was handed to Hitech Construction Company, a firm tied to Chagoury—Tinubu’s longtime associate and beneficiary of multiple federal contracts in recent years. The contract was estimated to cost taxpayers ₦15 trillion, sparking outrage from civil society groups and opposition lawmakers.
Despite this, the government now seeks even more funding from abroad to move forward with the same contract.
Minister of Works Dave Umahi defended the award, claiming Hitech’s “experience with concrete roads” and past projects justified the deal. “Procurement followed due process,” he said, referring to the company’s earlier reconstruction of the Oworonshoki–Apapa Road.
However, public reaction suggests few are convinced. With Nigeria’s public debt nearing ₦100 trillion, analysts say the Tinubu government’s spending spree—especially on politically linked projects—is reckless and disconnected from everyday realities.
Follow the Parallel Facts channel on WhatsApp: https://whatsapp.com/channel/0029VaCQSAoHgZWiDjR3Kn2E
