The China Development Bank (CDB) has approved a loan of $254.76 million (€245 million) to support Nigeria’s Kano-Kaduna railway project, ensuring the uninterrupted progress of construction work.
In a statement published on its website, the CDB highlighted the significance of the financial assistance, noting its commitment to the smooth execution of the project.
The standard-gauge railway spans 203 kilometers, connecting Kano, a major commercial hub in northern Nigeria, to the capital, Abuja. Upon completion, the railway is expected to provide a safer and more efficient transportation option, enhancing regional connectivity.
Beyond improving transit options, the project is projected to stimulate economic growth by encouraging industrial development along its route and creating numerous job opportunities during construction and operations.
The Kano-Kaduna railway is a key component of practical cooperation under the Third Belt and Road Forum for International Cooperation. It is being executed by the China Civil Engineering Construction Corporation (CCECC) and financed by the CDB.
Initially, the China Exim Bank was expected to fund the project but withdrew, prompting the CDB to step in as the new financier. The CDB assured continued collaboration with Nigerian authorities to ensure timely disbursement of funds and effective management of the project’s subsequent phases.
“Going forward, we will closely coordinate with Nigerian partners to ensure the smooth disbursement of subsequent loans and effective post-loan management,” the CDB stated.
Construction of the railway is reported to be progressing steadily. The Federal Government has set a target to complete the Kaduna to Kano section by the end of the year. Approximately N44.4 billion has been allocated in the current budget for the completion of the Abuja-Kaduna Railway, Lagos-Ibadan railway, and other rail projects across the country.
President Bola Tinubu has previously pledged to see the Ibadan-Abuja-Kaduna-Kano railway project completed to a high standard.
In related developments, Chinese Foreign Minister Wang Yi is expected to visit Abuja for an official engagement aimed at bolstering diplomatic ties between Nigeria and China. Wang Yi’s visit underscores the strategic partnership between the two nations, particularly in infrastructure development.
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