The Nigerian federal government has awarded the contract for the renovation of Lagos’ Tin Can and Apapa ports to ITB Nigeria, a construction firm owned by Gilbert Chagoury. Chagoury, a Lebanese-Nigerian businessman, has strong ties to President Bola Tinubu.
The renovation work is scheduled to begin in the second quarter of 2025 and will be financed through a loan from Citibank Nigeria, with backing from UK Export Finance. Afreximbank has also expressed interest in supporting the project financially. Additionally, APM Terminals, which operates Apapa port, has proposed a $500 million investment to enhance its operations.
Boost in maritime sector
Chagoury’s involvement in Nigeria’s infrastructure sector is extensive. Another of his companies, Hitech Construction, was previously awarded the contract for the Lagos-Calabar coastal highway, a large-scale project spanning eight states and valued at over N15 trillion. Although this project has faced scrutiny, the government defended its decision, citing Hitech’s expertise in concrete paving.
The Lagos port renovation project could increase Chagoury’s influence in the country’s maritime sector. At the same time, Chagoury is actively facilitating the entry of Dubai-based DP World into Nigeria’s port operations. In February 2025, Tinubu met with DP World’s chairman, Sultan Ahmed bin Sulayem, alongside Chagoury and Adegboyega Oyetola, Nigeria’s minister of marine and blue economy, to discuss investment opportunities. DP World has been considering the Nigerian market for some time, with previous discussions involving Vice President Kashim Shettima during the 2023 UN General Assembly.
The involvement of DP World may unsettle existing port operators. APM Terminals holds a concession for Apapa port until 2031, while some concessions at Tin Can port are currently available. CMA Terminals, a subsidiary of France’s CMA CGM, controls Lekki port under an agreement that prevents the establishment of a competing container port in Lagos before December 2028. Despite being among the most expensive ports globally due to high regulatory fees and customs charges, Lagos ports remain crucial entry points for trade in Africa. In 2006, APM Terminals secured a 25-year concession for Apapa port with a payment of nearly $1 billion.
Chagoury’s business ties with the Tinubu administration extend beyond port development. President Tinubu’s son, Seyi Tinubu, serves on the board of CDK Integrated Industries, another Chagoury Group subsidiary. Chagoury’s companies have also led major infrastructure projects in Lagos, including road construction in Victoria Island and Ikoyi, as well as the Eko Atlantic project. His influence in securing government contracts has increased since Tinubu’s administration began in 2023. The close relationship between Chagoury and the Tinubu family suggests that Chagoury will likely play a significant role in Tinubu’s political and economic strategies as he looks toward re-election in 2027.