China Development Bank Approves $254.76m Loan for Kano-Kaduna Railway Project

China Development Bank Approves 4.76m Loan for Kano-Kaduna Railway Project China Development Bank Approves 4.76m Loan for Kano-Kaduna Railway Project

The China Development Bank (CDB) has approved a $254.76 million (€245 million) loan to support the Kano-Kaduna railway project in Nigeria, ensuring uninterrupted progress in its construction.

The announcement was made on Tuesday via the bank’s website, highlighting its commitment to facilitating the project’s success.

The standard-gauge railway, stretching 203 kilometers, is designed to connect Kano, a major commercial hub in northern Nigeria, to Abuja, the nation’s capital. Once completed, the railway is expected to provide safer and more efficient transportation while enhancing regional connectivity.

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Beyond improved mobility, the project is projected to drive significant economic growth, fostering industrial development along its route and creating numerous jobs during both the construction phase and subsequent operations.

The Kano-Kaduna railway is a flagship initiative under the Third Belt and Road Forum for International Cooperation. It is being constructed by the China Civil Engineering Construction Corporation and financed through the CDB, which stepped in after China Exim Bank withdrew its funding.

In its statement, the CDB confirmed the project’s steady progress and pledged to closely coordinate with Nigerian partners to ensure the smooth disbursement of future loans and effective post-loan management. It emphasized its dedication to working with the Nigerian government to navigate upcoming phases of the railway’s development.

President Bola Tinubu has assured that the broader Ibadan-Abuja-Kaduna-Kano railway network will be completed satisfactorily. Additionally, the Nigerian government has allocated ₦44.4 billion in this year’s budget for the completion of the Abuja-Kaduna Railway and other key initiatives, including the Lagos-Ibadan railway.

The Kano-Kaduna railway represents a pivotal infrastructure development that is poised to transform transportation and economic dynamics in the region.

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