The Ministry of Transportation has secured the sum of $1.3 billion for the completion of the Kano-Katsina-Jibiya-Maradi rail project.

The move, according to the government, signifies a monumental step forward in the completion of the critical infrastructure, which it stated would strengthen the socio-economic ties between Nigeria and the Niger Republic.

The Minister of Transportation, Senator Said Ahmed Alkali, while announcing the major milestone in the financing of the project yesterday, in Abuja, noted that the China Civil Engineering Construction Company (CCECC) would provide 85 per cent of the money while the Nigerian government provide 15 per cent.

“It’s EPC+F Model. Engineering, Procurement, Construction and Financing (EPC- F contract). This rail link, a key component of President Tinubu’s Renewed Hope Agenda, is set to enhance regional trade, community development, and cultural exchange, aligning with the administration’s unwavering commitment to national development and a more interconnected African continent,” it stated.

The statement made available by Special Assistant (Public Affairs) to the Minister, Jamilu Ja’afaru added: “The recent visit by Mr. Tang Zhigang, Chairman of the Supervisory Board of the China Export and Credit Insurance Corporation, and his delegation, has further bolstered optimism for the rail project’s potential to lay the groundwork for future prosperity between the two nations.

“The Kano-Katsina-Jibiya-Maradi rail line is a testament to our shared history and ambition for economic advancement. It will create a lasting legacy of wealth and opportunities for Nigeria and the Niger Republic.

“As the project advances, the Nigerian Government remains dedicated to realising a vision of progress and unity. The Ministry of Transportation will continue to provide updates on this transformative venture, marking each achievement as we journey towards a brighter and more connected future.”

Similarly, the Managing Director of the Nigerian Railway Corporation, Mr. Fidet Okhiria, and Senior Director with the African Development Bank (AfDB), Alh. Muhammad Abdulrazak, both endorsed the project, describing it as a catalyst for positive change, fostering economic growth and regional cooperation.

Speaking at the interactive section, the Senior Vice President, Africa Finance Cooperation, Mohammed Abdul-Razaq, disclosed that the consortium of banks consisting of the Africa Development Bank, Africa Export-Import Bank (Afrexim), Development Bank of Southern Africa, African Finance Bank, Rand Merchant Bank and the China Construction Bank have indicated interest in providing the funds that will facilitate completion of the project within the proposed timeline.

He explained that the team as part of the due diligence process, had embarked on a series of interactive engagements with the Ministers of Finance, Environment, Mines and Steel Development and only just came back to Abuja after visitation to the site locations of the project to corroborate received reports.

According to Abdul-Razaq, “for them to be able to provide funds, they need to do due diligence and at the end of the mission, return to their respective offices, write credit reports and seek approvals.”

He equally noted that the Ministry before commencement with the physical aspect of the project had through the Federal Ministry of Environment carried out an environmental social impact assessment and the ministry has been given the report and approval before work commenced.

Culled from ThisDay