China development bank loans $255M for Kano-Kaduna rail project

The China Development Bank has approved a $254.76 million loan to Nigeria to support the construction of the Kano-Kaduna railway, aimed at connecting the northern Nigerian cities of Kano and Kaduna. The announcement comes ahead of a visit to Nigeria by China’s Foreign Minister Wang Yi, who is scheduled to meet with President Bola Tinubu and key officials this week as part of his annual New Year tour of Africa.

The $973 million project, which has faced delays due to funding issues, will see the development of a 203-kilometre (126-mile) standard-gauge railway. The China Development Bank emphasized that this funding would ensure the project’s continued progress. Once completed, the rail line will link Kano, a key northern city, with Nigeria’s capital Abuja, providing residents with a safer, more efficient means of transportation.

Originally approved by Nigeria’s parliament in 2020, the project saw a setback when China’s Exim Bank withdrew as the financier. Now part of China’s Belt and Road Initiative, the project is being constructed by the China Civil Engineering Construction Corporation.

The new railway will also facilitate the safer movement of people and goods in a region plagued by frequent attacks by armed gangs targeting road travelers. China is a major lender to Nigeria, contributing significantly to infrastructure projects in sectors such as transportation, energy, and power generation.

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