Nigeria has secured financing from the United Arab Emirates to fund the construction of a 56-kilometre section of the Lagos–Calabar Coastal Highway, strengthening the government’s push to expand transport infrastructure and attract long-term foreign capital.
The funding, estimated at about $1.2 billion, will support part of the coastal road project designed to run along Nigeria’s Atlantic shoreline, linking major commercial centres and easing logistics bottlenecks across multiple states.
The project forms a core component of the federal government’s infrastructure agenda under President Bola Tinubu, which prioritises roads, ports, and power as drivers of economic growth.
The Lagos–Calabar Coastal Highway is planned to span roughly 700 kilometres when fully completed, connecting Lagos to Cross River State and passing through key coastal corridors. Officials say the road is expected to improve trade flows, reduce travel times, and stimulate investment in tourism, manufacturing, and real estate along the coastline.
Securing external financing from the United Arab Emirates underscores Nigeria’s strategy of leveraging bilateral partnerships to close infrastructure funding gaps amid fiscal constraints at home.
The government has increasingly turned to foreign loans, public-private partnerships, and development finance to accelerate delivery of large-scale capital projects.
Authorities say the funded 56-kilometre section represents an early phase of the broader highway plan, with additional financing expected to be sourced for subsequent segments. Construction activity on priority sections is expected to intensify as funding arrangements are finalised and contractors mobilise on site.
The coastal highway is also seen as a strategic economic asset, offering an alternative transport route that could reduce pressure on existing inland highways while enhancing regional integration.
Analysts note that improved road connectivity could lower logistics costs for businesses and support Nigeria’s non-oil export ambitions over the medium term.
With UAE-backed financing now in place for part of the project, attention is expected to shift to execution timelines, cost management, and the government’s ability to sustain funding momentum for the remaining stretches of the highway.