Nigeria has secured a $254.76mn loan from the China Development Bank (CDB) to fund the Kano-Kaduna railway project, a critical segment of the Lagos-Kano railway modernisation initiative.

The 203-kilometre railway line aims to connect Kano, Nigeria’s commercial hub in the north, with Abuja, the nation’s capital. It is expected to enhance regional connectivity and stimulate economic growth along its route.

Originally launched in July 2021 under the administration of then-President Muhammadu Buhari, the project is being executed by the China Civil Engineering Construction Corporation (CCECC), a major participant in China’s global Belt and Road Initiative (BRI), a global infrastructure development strategy adopted by the Chinese government in 2013 to invest in more than 150 countries and international organisations

The Kano-Kaduna railway project is anticipated to create jobs, boost local industry, and improve transport efficiency by significantly reducing travel times and offering affordable options for passengers and freight. It is also expected to relieve congestion on Nigeria’s overburdened road network, providing a more environmentally sustainable alternative.

“Currently, the project is progressing smoothly. The next phase, CDB will work closely with the Nigerian side to ensure the continued disbursement of loans and effectively manage following work,” the bank stated, according to Nigerian media.

This development underscores the deepening infrastructure partnership between Nigeria and China. China has financed and built several key projects in Nigeria, including the Lekki Deep Sea Port, which is the largest seaport in Nigeria and one of the biggest in West Africa.