China Development Bank has approved a $254.76 million loan to support Nigeria’s Kaduna-to-Kano railway project. The announcement comes as China’s Foreign Minister, Wang Yi, embarks on his annual New Year tour of Africa, which includes a visit to Nigeria later this week.
Wang Yi is scheduled to meet with Nigerian President Bola Tinubu and top government officials on Thursday to discuss bilateral relations, according to Nigeria’s Ministry of Foreign Affairs.
Funding Revives Stalled Project
The Kaduna-to-Kano railway, part of a $973 million infrastructure project, has faced significant delays due to funding challenges. The newly approved loan is expected to accelerate the construction of the 203-kilometre (126-mile) standard-gauge railway, which aims to transform transportation in the region.
China Development Bank stated the funds will ensure the project progresses smoothly, boosting economic activity by lowering transportation costs, facilitating the movement of goods and people, and improving market access.
“Once completed, the railway will connect Kano, a strategic northern hub, with the federal capital Abuja, providing residents with a safe, efficient, and reliable mode of transport,” the bank highlighted.
Part of China’s Global Ambitions
Initially slated for financing by China’s Exim Bank in 2020, the project was delayed when the lender withdrew. The railway is now part of China’s ambitious Belt and Road Initiative, constructed by the China Civil Engineering Construction Corporation.
Critics of the initiative have raised concerns about debt sustainability, accusing China of creating dependencies in participating nations. However, advocates argue the railway will address pressing transportation needs in northern Nigeria, where road travel is often perilous due to kidnappings and attacks by armed groups.
China’s Expanding Footprint in Nigeria
China remains one of Nigeria’s largest bilateral lenders, having financed critical infrastructure projects such as roads, railways, and power plants. This railway project further cements China’s strategic partnership with Nigeria, offering hope for economic revitalization in a region grappling with insecurity and logistical challenges.
The railway is expected to bring transformative benefits to local communities while showcasing China’s growing influence in Africa’s development