FEC Approves N740 Billion for Abuja-Kano Road Project

FEC Approves N740 Billion for Abuja Kano Road Project
FEC Approves N740 Billion for Abuja Kano Road Project

In a major boost to Nigeria’s infrastructure development, the Federal Executive Council (FEC) has approved several high-profile road projects, including a whopping N740 billion for the Berger stretch of the Abuja-Kano route. The approval was announced by Minister of Works Dave Umahi after a cabinet meeting presided over by President Bola Tinubu at the Presidential Villa in Abuja.

According to Minister Umahi, the government is taking a proactive approach to managing the country’s extensive backlog of infrastructure projects. One of the key projects getting attention is the Shagamu-Benin Road, which is currently undergoing critical rehabilitation. The procurement process for the full reconstruction of the road using reinforced concrete pavement is also nearing completion.

The Abuja-Kano Road project, previously slated for a tax credit arrangement, will now be procured without such a provision. The 162-kilometre Berger section has already been approved for N740 billion. Other projects getting the green light include the commencement of construction on the Sokoto-Badagry Road, with the Sokoto section set to be flagged off soon.

Minister Umahi also announced that work on the Oyo-Ogbomosho Road, a project stalled for 18 years, will resume. Additionally, the Makurdi-Katsina-Ala Road will undergo significant repairs. The FEC also tackled the inherited debt profile of N1.6 trillion tied to 2,604 projects, with a total contract value of N13 trillion.

To manage this massive backlog, the Ministry of Works has initiated a phased approach to project completion based on available funding. The council further approved advanced payment mechanisms to combat inflation and rising costs driven by fluctuating exchange rates and petroleum prices.

These approvals are a significant step towards addressing Nigeria’s infrastructure challenges and will have a positive impact on the country’s economy and the lives of its citizens.

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