Federal Government (FG) has secured about $1.26 billion in funding to support the second section of the first phase of Lagos-Calabar Coastal Highway, as work continues on the flagship infrastructure project.
Gatekeepers News reports that the financing arrangement was announced by the Presidency, which said President Bola Ahmed Tinubu praised the Ministries of Finance and Works, as well as the Debt Management Office, for working together to close the deal.
The President reaffirmed his administration’s commitment to using innovative funding options to deliver major infrastructure projects across the country.
Tinubu said, “This is a major achievement, and closing this transaction means the Lagos-Calabar Coastal Highway will continue unimpeded.”
Minister of Finance, Wale Edun, disclosed that the financing agreement was signed on December 19, 2025. He said the funds would be managed carefully to ensure timely completion of the project.
Edun said, “The signing of the USD 1.26 billion financing for Phase One, Section Two of the Lagos-Calabar Coastal Road marks a defining moment in Nigeria’s infrastructure journey”, noting that it followed the earlier $747 million secured for the first section of the same phase.
He added that the deal is the first fully underwritten road infrastructure financing of its size in Nigeria, describing it as a major boost to the country’s development drive under the Renewed Hope agenda.
According to official details, the funding was provided by international financial institutions, with support from development partners.
The section covered by the new financing spans about 55.7 kilometres, linking Eleko in the Lekki axis to Ode-Omi, a key coastal corridor expected to improve trade, tourism, and regional connectivity.
The government said environmental and social standards were considered in line with global best practices, while legal and financial advisers were engaged to ensure transparency and value for money.
Lagos-Calabar Coastal Highway is one of the largest road projects currently being executed by the Federal Government.
Earlier in the year, President Tinubu inaugurated the completed 30-kilometre first section of Phase One, while the Minister of Works, David Umahi, has repeatedly stated that the project remains a top priority for the administration.
The highway is expected to boost economic activities along Nigeria’s coastline and ease transportation challenges once fully completed.
