- China Development Bank (CDB) approved $254.76 million for Kano-Kaduna railway construction
- The project is expected to drive economic growth and create jobs along the railway corridor
- Construction is being managed by China Civil Engineering Construction Corporation (CCECC)
The China Development Bank (CDB) approved a $254.76 million loan to support the construction of the Kano-Kaduna railway project in Nigeria under the leadership of President Bola Tinubu's government.
The bank confirmed that the funding would help ensure the smooth implementation of the infrastructure project in a statement released on January 7.
Kano-Kaduna railway project spans 203 kilometers
“The Kano-Kaduna railway spans a total of 203 kilometres and is designed as a standard-gauge railway,” the statement read in part.
According to reports, the China Civil Engineering Construction Corporation (CCECC) is overseeing the construction, with financial backing provided by the CDB.
The bank noted that, in addition to improving mobility, the project is expected to stimulate economic development along the railway corridor, create jobs, and promote related industries.
Recall that former President Muhammadu Buhari officially launched the construction of the Kano-Kaduna railway on July 15, 2021.
Kano-Kaduna railway to strengthen connectivity between Kano, Abuja
The Kano-Kaduna rail line forms the third segment of the Lagos-Kano standard-gauge railway modernisation initiative, following the Abuja-Kaduna and Lagos-Ibadan segments, which began commercial operations in July 2016 and June 2021, respectively.
The CDB also emphasised that the project is part of the collaborative initiatives under the Third Belt and Road Forum for International Cooperation.
“Upon completion, it will establish a direct rail link between Kano, a key city in northern Nigeria, and the capital, Abuja, providing residents with a safe, efficient, and convenient transportation option.”
The bank reported that construction was proceeding smoothly and reaffirmed its commitment to working closely with the Nigerian government to ensure effective fund disbursement and management of future phases of the project.
“Borrowing with nothing to show”: Nigerians react to Tinubu’s request to obtain N1.767 trillion loan
Meanwhile, TheRadar earlier reported that President Tinubu sought a N1.767 trillion loan to address Nigeria’s N9.17 trillion fiscal deficit for 2024.
According to the report, experts cautioned against escalating Nigeria's debt burden amid growing fiscal deficits.