The Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, says the Federal Government will soon finalise N1.5 trillion road concession project.
Edun made the statement during a meeting with some private sector investors in Abuja on Wednesday.
The Federal Government is set to conclude a major N1.5 trillion road concession agreement under the Highway Development and Management Initiative (HDMI), according to the Minister of Finance and Coordinating Minister of the Economy, Wale Edun.
The HDMI, launched in 2021, aims to engage private sector partners in reconstructing and maintaining key highways across the country. Under this initiative, nine major highways—spanning about 900 kilometers—will be rebuilt and managed through 25-year concession agreements. The concessionaires will fund, maintain, and recover their investments via toll collections.
“We met with the concessionaires who have almost completed all agreements for the roads. We’re resolving final administrative hurdles to allow construction to begin,” Edun said.
Highlighting the success of the Benin–Asaba Highway, Edun noted that the 125-kilometer project has already been handed over to concessionaires, and preparatory work has begun. The highway, set to be expanded to 10 lanes, is expected to reduce travel time from four hours to just one hour.
The broader HDMI plan covers 12 federal highways totaling 1,963 kilometers. These include:
- Benin–Asaba
- Abuja–Lokoja
- Kano–Katsina
- Onitsha–Owerri–Aba
- Shagamu–Benin
- Abuja–Keffi–Akwanga
- Kano–Shuari
- Potiskum–Damaturu
- Lokoja–Benin
- Enugu–Port Harcourt
- Ilorin–Jebba
- Lagos–Ota–Abeokuta
- Lagos–Badagry–Seme
The initiative is expected to generate over 50,000 direct and 200,000 indirect jobs, significantly boosting economic growth and infrastructure development.
Joining the meeting virtually, Minister of Works David Umahi reaffirmed the government’s commitment to the HDMI, pledging to resolve any outstanding issues soon.
Private sector partners, including Mr. Kola Karim of Shoreline, called for clear, enforceable documents specifying takeoff and handover dates to secure investor confidence. They also requested that sections of completed highways be opened for tolling while work continues on other parts.
The meeting was also attended by the Minister of Budget and Economic Planning, Abubakar Bagudu, and the Director General of the Infrastructure Concession Regulatory Commission (ICRC), Dr. Jobson Ewalefoh.
