In a pivotal financial boost, China Development Bank (CDB) has disbursed a $254.76 million loan to Nigeria. The funds will support the construction of a railway connecting Kano and Kaduna, two prominent northern states.
The railway, a critical infrastructure project, aims to enhance connectivity and safety for commuters in the region. The 203-kilometer standard-gauge railway will link Kano to Nigeria’s capital, Abuja, offering residents a safer and more efficient transportation option.
China’s Foreign Minister, Wang Yi, is set to visit Nigeria this week as part of his annual New Year African tour. Scheduled to meet President Bola Tinubu and senior officials, his visit underscores the growing ties between the two nations.
The rail project, estimated to cost $973 million, has faced delays due to funding challenges. Originally approved by Nigeria’s parliament in 2020 with China’s Exim Bank as financier, the project saw a setback when Exim Bank withdrew its support.
The CDB loan is a significant step in revitalizing the project, which is part of China’s Belt and Road Initiative. Construction is being carried out by the China Civil Engineering Construction Corporation, with hopes of transforming regional transport infrastructure.
Besides enhancing mobility, the railway is expected to address safety concerns in a region plagued by attacks from armed gangs. Efficient rail transport will reduce reliance on hazardous road travel and support the movement of goods and people.
China remains one of Nigeria’s largest bilateral lenders, funding vital sectors like roads, railways, and power generation. This loan further strengthens the financial and diplomatic partnership between the two nations.
Once completed, the Kano-Kaduna railway promises to be a cornerstone of modern infrastructure, driving economic growth and improving lives in northern Nigeria.