The China Development Bank (CDB) has granted a €245 million ($254.76 million) loan to support the ongoing Kano-Kaduna railway project in Nigeria, ensuring the seamless continuation of construction. This announcement, made by the CDB on Tuesday, underlines its commitment to the successful progression of the project.
The railway, a 203-kilometer standard-gauge line, will connect Kano, a major commercial hub in northern Nigeria, to Abuja, the nation’s capital. Once operational, the project will provide a safer, more efficient mode of transportation for residents, while enhancing regional connectivity.
In addition to improving transportation, the project is expected to stimulate economic growth by promoting industrial development along the railway corridor. It is also projected to create significant employment opportunities during both the construction and operational phases.
The Kano-Kaduna railway is part of the practical cooperation under the Third Belt and Road Forum for International Cooperation, with the construction being handled by the China Civil Engineering Construction Corporation and financed by the CDB.
Construction of the railway is progressing well, and the CDB has expressed its commitment to collaborating closely with the Nigerian government for the effective management and disbursement of subsequent funds. Initially, the China Exim Bank was expected to finance the project but later withdrew, paving the way for the CDB to take over as the new financier.
President Bola Tinubu has assured that the Ibadan-Abuja-Kaduna-Kano railway project will be completed to the satisfaction of all stakeholders. The Federal Government aims to finalize the construction of the Kaduna to Kano rail line before the end of the year.
Additionally, the Nigerian government has allocated N44.4 billion for the completion of other key railway projects, including the Abuja-Kaduna Railway and the Lagos-Ibadan railway.
During his official visit to Nigeria, the Foreign Minister of the People’s Republic of China, Wang Yi, will engage in discussions aimed at strengthening bilateral relations between Nigeria and China.