President Bola Tinubu has requested the approval of the Senate for a $516.3 million foreign syndicated loan to fund the construction of the Sokoto–Badagry Superhighway.

The request was presented on Thursday in a letter read by Senate President Godswill Akpabio during plenary.

Tinubu asked lawmakers to approve the borrowing in line with the Debt Management Office Act to facilitate funding for Sections 1, Phase 1A and 1B of the project. The financing is expected to be arranged through Deutsche Bank AG.

The 1,000-kilometre highway is a major infrastructure component of the administration’s Renewed Hope Agenda, aimed at improving connectivity and boosting economic activities across Nigeria.

The project will link Sokoto, Kebbi, Niger, Kwara, Oyo, Ogun, and Lagos States, running from Illela to Badagry.

According to the proposal, the loan will be backed by a partial risk guarantee from the Islamic Corporation for the Insurance of Investment and Export Credit, while the Federal Government will provide over ₦265 billion as counterpart funding for land acquisition, compensation, and related works.

The facility carries a nine-year repayment structure with a three-year moratorium and an interest rate benchmarked on SOFR plus 5.3% per annum. The Federal Executive Council has already approved the financing plan.

After presentation, the Senate referred the request to the Committee on Local and Foreign Debts, which is expected to report back within one week. Senate President Akpabio expressed support, noting that infrastructure borrowing remains vital for safety, growth, and national integration.