The Federal Government’s Lagos–Calabar Coastal Highway is beginning to attract strong international investor interest, reinforcing its positioning as a long-term, investment-driven infrastructure project rather than a conventional public works programme.
This assurance was given on Wednesday by the Minister of Works, David Umahi, during a press briefing at the ministry’s headquarters in Abuja, where he outlined the financial structure, procurement process and broader economic rationale behind the flagship project.
High Investor Appetite for Coastal Highway
Umahi revealed that at least four international companies have formally expressed interest in refunding 100 per cent of the cost of Section One of the Lagos–Calabar Coastal Highway in exchange for taking over its operation and tolling rights.
According to the minister, the development reflects growing confidence among global financiers in the viability and profitability of the project.
“There are about four companies that have indicated interest to pay 100 per cent of what was spent on Section One of the coastal highway, take it over and toll it. That process is ongoing,” Umahi said.
He explained that the Federal Government is directly funding only about 30 per cent of the project, while the remaining 70 per cent is being sourced from international financiers, noting that the return on investment remains significantly attractive.
Legacy Project Built on Investment Logic
Umahi stressed that the Lagos–Calabar Coastal Highway was conceived as one of President Bola Tinubu’s legacy projects, deliberately structured to attract external capital into Nigeria’s economy.
“When a nation is in crisis, you have to do everything possible to bring external funds into the system. That is the wisdom behind what the President is doing with these four legacy projects,” the minister said.
He described the highway as a strategic economic corridor, designed not only to connect states along Nigeria’s coastline but also to unlock multiple infrastructure projects and investment opportunities nationwide.
“This legacy project is an investment. It is linking all the ongoing projects of Mr President,” he added.
Procurement Process and Legal Compliance
The minister also addressed criticisms raised by Senator Enyinnaya Abaribe, who had questioned the procurement process for the highway. Umahi described the claims as a direct attack on his integrity and professionalism.
“By saying that I didn’t care about the procurement process, that is an attack on my personality and integrity,” he said, adding that he expected the remarks to be withdrawn.
Umahi maintained that the project fully complied with the Public Procurement Act, explaining that the law recognises three procurement methods, all of which were duly observed in the execution of the coastal highway.
“I want him to go and study the Procurement Act and come back to tell Nigerians whether there was any infringement,” he said.
Environmental Safeguards and Global Scrutiny
According to the minister, the project underwent a comprehensive Environmental and Social Impact Assessment (ESIA), a critical requirement for attracting international funding.
He explained that the ESIA process involved public advertisements, stakeholder consultations in affected communities, independent assessments led by academic experts, and an open international comment window before certification was issued.
“At the end of the day, a certificate of ESIA was issued. It was displayed publicly, and it remains on record,” Umahi said.
He added that international financiers, including the Dutch Development Bank, conducted independent evaluations of Section One and delivered favourable assessments.
“They found that the project was properly packaged, of very high quality, and undervalued,” he noted.
Oversubscription Signals Global Confidence
Umahi disclosed that when the project was opened to foreign financial institutions, it was oversubscribed by $100 million, underscoring what he described as strong international confidence in the project’s credibility.
“International funders are not jokers. They scrutinise every detail before approving funding,” he said.
Project Scope and Economic Impact
The Lagos–Calabar Coastal Highway is expected to span about 700 kilometres, connecting Lagos, Ogun, Ondo, Delta, Bayelsa, Rivers, Akwa Ibom and Cross River states. The project is designed to boost trade, tourism, logistics and coastal protection, while serving as a key evacuation corridor for oil, gas and agricultural assets across the southern belt.
Section One of the highway, running from Ahmadu Bello Way in Lagos to the Lekki axis, has drawn public attention following debates over cost, procurement procedures and environmental implications.
However, the Federal Government has consistently defended the project, insisting that due process was followed and that the highway would deliver long-term economic returns while easing pressure on existing transport routes.
Umahi Defends Tinubu’s Record in the South East
Beyond the highway project, Umahi also responded to claims by Senator Abaribe that the South East had no reason to support President Tinubu, describing such statements as misleading and divisive.
“I am not speaking as a politician. I am speaking as a minister who is directly involved in the South East and who knows what is happening on the ground,” he said.
He insisted that the region has benefited significantly under the Tinubu administration, noting that governors from the South East are aligned with the President due to what he described as inclusive governance.
Security and Development Gains Highlighted
Citing Abia State as an example, Umahi rejected claims of marginalisation, crediting the current national economic environment for enabling reforms at the state level.
He contrasted the present administration with the previous one, accusing it of excluding the South East from key national security appointments for eight years. According to him, President Tinubu has corrected that imbalance by appointing South-East officers to strategic roles, including the Chief of Naval Staff, and approving the establishment of an army depot in Abia State.
“This is very key. The president has favoured Abia State and, by extension, the entire South East by providing an army training facility to tackle insecurity,” Umahi said.
2027 Remarks ‘Personal Opinion’
Umahi dismissed Abaribe’s claim that the South East would not support Tinubu in 2027, describing it as a personal opinion rather than a collective regional stance.
“He was talking about himself. The governors of the South East are very happy and very grateful,” the minister concluded.