Otti Thanks Tinubu for $125m IsDB Loan for Abia Infrastructure

Otti thanks Tinubu for approving $125M Islamic Development Bank facility for Abia

A major infrastructure initiative in Nigeria’s Abia State has secured a $125 million boost after President Bola Tinubu approved funding from the Islamic Development Bank (IsDB). Governor Alex Otti expressed gratitude for the financing, which will support road construction and erosion control efforts in the southeastern state.

The approval, confirmed during a Federal Executive Council (FEC) meeting on Wednesday, August 13, advances the Abia State Integrated Infrastructure Development Project. A government statement released Thursday outlined plans to construct 126 kilometers of roads in Aba, a commercial hub, and 35.57 kilometers in Umuahia, the state capital. The funds will also address critical erosion challenges in project areas, a persistent issue in the region due to its topography and heavy rainfall.

Governor Otti credited collaborative efforts for the milestone, acknowledging President Tinubu, the National Assembly, Finance Minister Wale Edun, and IsDB representatives. Ukoha Njoku Ukoha, the governor’s chief press secretary, emphasized the project’s potential to enhance transportation networks and mitigate environmental risks. “This financing marks a pivotal step in addressing longstanding infrastructure gaps,” the statement noted.

Aba, known for its vibrant manufacturing and trade sectors, has long struggled with dilapidated roads hindering economic activity. Umuahia’s infrastructure upgrades aim to improve connectivity for government operations and residents. The inclusion of erosion control measures reflects broader regional concerns, as unchecked soil degradation has displaced communities and damaged farmland in past years.

The IsDB, a multilateral development institution, has financed infrastructure and social programs across Nigeria and other member nations. While details on project timelines remain undisclosed, the approval aligns with federal and state efforts to attract foreign investment for public works. Authorities anticipate the initiative will stimulate local economies, ease traffic congestion, and reduce flood risks in targeted areas.

Analysts highlight the project’s significance amid calls for equitable development in Nigeria’s southeast, a region historically seeking greater federal investment. The funding arrives as Abia’s government prioritizes infrastructure renewal, following recent pledges to rehabilitate highways and public utilities.

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