A US $254.76M loan has been given the green light by China Development Bank for the development of the Kano-Kaduna railway project in Nigeria.
The critical infrastructure project is aimed at improving connectivity and driving economic growth in the region. The railway spans 203 kilometers, connecting Kano, a major commercial hub in northern Nigeria, to Abuja, the nation’s capital. It is part of a broader plan to enhance regional connectivity and provide a safer, more efficient mode of transportation.
The project is expected to stimulate economic growth by fostering industrial development along its corridor. It will create significant employment opportunities during construction and subsequent operations.
Kano-Kaduna railway project
Initially slated for funding by the China Exim Bank, the project is now being financed by the CDB, ensuring seamless continuation of construction. The bank reaffirmed its commitment to efficient disbursement and effective management of the loan.
The Kano-Kaduna railway is a key project under the Third Belt and Road Forum for International Cooperation, underscoring its strategic importance in fostering Nigeria-China relations. Construction is reportedly progressing well under the execution of the China Civil Engineering Construction Corporation (CCECC).
Nigeria’s Federal Government, led by President Bola Tinubu, has budgeted ₦44.4 billion for railway projects in 2024, including the Abuja-Kano railway line. The government aims to complete the Kaduna-Kano section by the end of the year.
Chinese Foreign Minister Wang Yi is scheduled to visit Abuja to discuss strengthening bilateral ties and facilitating cooperative projects, including infrastructure development.