By Awwal Umar The China Development Bank (CDB) has approved a loan of $254.76 million (€245 million) to support Nigeria’s Kano-Kaduna rai...
By Awwal Umar
The China Development Bank (CDB) has approved a loan of $254.76 million (€245 million) to support Nigeria’s Kano-Kaduna railway project, ensuring uninterrupted progress in its construction.
In a statement published on its website on Tuesday, the bank announced:
“China Development Bank released on Tuesday that the bank has recently granted a loan of 245 million euros ($254.76 million) to the Kano-Kaduna railway project in Nigeria, providing financial support for the smooth progress of the project.”
The standard-gauge railway, spanning 203 kilometers, will connect Kano, a major commercial hub in northern Nigeria, to Abuja, the nation’s capital. Upon completion, the railway is expected to provide residents with a safer and more efficient transportation option while enhancing regional connectivity.
Beyond improving transportation, the project is anticipated to stimulate economic growth by fostering industrial development along its route. It is also expected to generate substantial employment opportunities during both its construction phase and subsequent operations.
The Kano-Kaduna railway is one of the flagship initiatives under the Third Belt and Road Forum for International Cooperation. It is being executed by the China Civil Engineering Construction Corporation and financed by the CDB.
The bank emphasized that construction work is progressing well and reiterated its commitment to partnering with the Nigerian government to facilitate loan disbursements and effectively manage subsequent project phases.
The CDB stated: “Going forward, it will closely coordinate with Nigerian partners to ensure the smooth disbursement of subsequent loans and effective post-loan management.”
The CDB assumed the role of financier after China Exim Bank withdrew its funding for the project.
President Bola Tinubu has previously assured the public that the broader Ibadan-Abuja-Kaduna-Kano railway project will be completed to satisfactory standards.
In addition, the Federal Government has allocated N44.4 billion in the 2024 budget for the completion of the Abuja-Kaduna railway project and other railway initiatives, including the Lagos-Ibadan railway.
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