Nigeria's $5 Billion UAE Loan Plan Stalled by Crisis

Godswill Akpabio, during a Senate plenary session, disclosed that Nigeria's plan to secure a $5 billion loan from the United Arab Emirates has been derailed by the ongoing conflict involving the United States, Israel, and Iran. This situation has forced the federal government to seek alternative funding to sustain critical infrastructure projects.

The Senate subsequently approved a $516.3 million loan request from President Bola Tinubu to construct the Sokoto-Badagry superhighway. Akpabio emphasized that geopolitical tensions in the Middle East have disrupted the borrowing arrangements with Abu Dhabi Bank, making it urgent for the government to source funds elsewhere to prevent project abandonment.

The Senate's swift approval of the $516 million loan was driven by the need to keep strategic national projects on track. The project is expected to enhance connectivity, reduce logistics costs, improve road safety, facilitate trade, and strengthen food security across seven states.