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FG Fixes Lagos–Calabar Coastal Highway Cost at ₦7.5bn Per Kilometre as Investors Show Interest

byAdedipe Temilolaoluwa
May 16, 2026
in Business, Economy, News
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The Minister of Works, David Umahi, has disclosed that the ongoing Lagos–Calabar Coastal Highway project costs about ₦7.5 billion per kilometre to construct. He explained that the figure reflects the high-quality engineering involved, including reinforced pavement, concrete structures, drainage systems, culverts, and other durable components designed to extend the lifespan of the road for decades.

Umahi made this known during the signing of Memoranda of Understanding and contract agreements for eight major road projects held in Abuja on Wednesday and Thursday. He described the projects as part of President Bola Tinubu’s long-term infrastructure vision aimed at transforming Nigeria’s road network and boosting economic growth.

According to the minister, the Lagos–Calabar Coastal Highway, which stretches about 750 kilometres, has moved from public doubt to growing acceptance. He noted that by November, motorists would be able to travel through completed sections from Lagos up to parts of Ondo State, using Sections One, Two, and part of Section Four. Other sections in Cross River, Akwa Ibom, and Section Five are still under construction.

Umahi emphasized that the coastal highway is not just a road project but a national investment expected to last up to 100 years with minimal maintenance. He also praised the construction firm handling the project for its speed and capacity, stating that it can deliver up to one kilometre of road daily.

He further revealed that investors have already shown strong interest in the completed sections of the highway. According to him, private investors are willing to take over tolling operations on certain segments in order to recover government costs and manage returns.

“People are already asking to take over completed sections for tolling so they can recover investments,” he said, adding that the project is structured as a financially sustainable infrastructure investment.

Umahi also highlighted progress on other major national road projects, including the Calabar–Ebonyi–Abuja Super Highway, Sokoto–Badagry Super Highway, and the Akwanga–Jos–Bauchi–Gombe–Maiduguri Road. He explained that these projects are designed to improve connectivity across all geopolitical zones in Nigeria.

He noted that the federal government is adopting a funding model where 30 percent of project costs come from government counterpart funding, while 70 percent is sourced through loans. He added that tolling and strategic land use along the corridors would ensure long-term repayment and sustainability.

The minister also revealed that the government is expanding road infrastructure in the South-East, stating that improved road access could reduce travel time between the region and Abuja to as little as three to four hours. He described the development as a major boost to trade and economic activity.

Speaking at the event, contractors assured the government of timely and quality delivery of the projects, promising to meet or exceed expected standards within the agreed timelines.

Officials from the Ministry of Works described the signing ceremony as the formal start of implementation for the newly approved road projects, marking another step in Nigeria’s ongoing infrastructure expansion drive.

Tags: DavidUmahi TinubuAdministrationFederalGovernmentInfrastructure RoadProjectsLagosCalabarHighwayNigeriaDevelopmentTollRoads Construction
Adedipe Temilolaoluwa

Adedipe Temilolaoluwa

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