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Road infrastructure major boost for Nigeria economy growth

By Oluwaseun Sonde


Nigerian President, Muhammadu Buhari has said that the road infrastructure have been major boost for the growth of Nigeria economy, keeping people at work; driving supply value chain, stimulating productivity for Cement, lubricants, fuel and bitumen etc.


Buhari made this known when awarded the ‘Africa Road Builders-Trophee Babacar Ndiaye’ 2021 during the 7th edition of the Inaugural Conference in Abuja on Thursday, in recognition of his efforts towards promoting infrastructure projects across Nigeria.


In his acceptance speech, the President represented by the Minister of Works and Housing, Babatunde Fashola said this is an auspicious African day, in the capital city of Africa’s most populous nation.


"It is an African day of Pride, where the story of Africa’s long-awaited Renaissance begins to unfold inside her largest country by population and GDP.


"A day of Pride for the African Union and Her Dreams for the continent, where the policies and programmes that have been inaugurated over the years are beginning to bear fruits and results".


Recalled that the Trans African Highway programme, launched in 1971 sought to connect the whole of African through a major system of Nine (9) highways, the TAH1 to the TAH9 covering an aggregate distance of 56,683km.


"The African Development Bank, a financial institution set up to support the African Countries in their developmental objectives with the African Continental Free Trade Area Agreement set up to create a unified, borderless market of over one billion people to facilitate intra-African Trade", the President said.


President Buhari who was delighted to report that Nigeria is playing her membership and leadership role in all of these institutions and in the pursuit of achieving their objectives.


"Only a few days ago in the city of Lagos, our private sector opened a 3,000 metric tonne granular Fertilizer Company to support Farmers and Agriculturalists on the African continent and beyond.


"Our collaboration with the African Development Bank has been productive and results are now manifest in projects like the Mfum-Bamenda Bridge that connects Nigeria and the Republic of Cameroon", he added.

The President acknowledged the support of the Bank in financing Feasibilities, Consultancies and Pre-construction work on the Lagos-Abidjan Corridor comprising Nigeria, the Republic of Benin, Togo, Ghana and Cote d’Ivoire which is part of Trans African Highway No. 7 from Dakar in Senegal to Lagos in Nigeria.


He stated that the Nigerian sections of the highway is now under construction on the Lagos-Badagry corridor through local financing institution such as the Tax Credit Scheme introduced by Executive Order No. 7; and in collaboration with the Lagos State Government.


Also, reported that apart from Trans African Highway No. 7, Nigeria is also connected by Trans African Highways No. 2, Algiers to Lagos and Trans African Highway No. 8, Lagos Mombasa.


"The East to West crossing of Nigeria across the Second River Niger Bridge which will be finished this year is a major investment by Nigeria on the Lagos-Mombasa Trans African Highway, as is the Enugu Abakaliki to Mfum Highway.


"The 375Km Abuja to Kano that is now under construction is Nigeria’s major part of the Trans African Highway No. 2; Algiers to Lagos".


He reaffirmed Federal Government's commitment to rebuilding, expanding or replacing strategic Highways and Bridges across the country.


"The Apapa-Oworonshoki Highway in Lagos is strategic for trade and business facilitation to support our busiest and largest Sea Port in Apapa and Tin Can Island.


"The Suleja-Minna Highway is critical to our petroleum distribution network and access to strategic petroleum products Depot in Niger State; and it is receiving attention, while the Calabar-Itu-Odukpani unlocks access to agricultural produce and supports mining and extractive activities for construction, in the South South and South East of Nigeria".


The President noted that the most recent GDP results of 3.40%, the biggest in the last 7 years clearly show that the construction sub-sectors and related sub-sectors of the economy were among the big performers of the growth surge.


"Very evidently, infrastructure investment is good for the economy. By building Roads, we are building Economies. The founding vision of African Leaders is coming to fruition, Evidence of the African Renaissance is being showed today in Nigeria".


Nigeria Sovereign Investment Authority NSIA during its presentation at the event revealed that the Presidential Infrastructure Development Fund PIDF is going to complete four critical infrastructure projects worth 2.3 trillion naira.


The NSIA’s report at the road builders’ event stated that the expected impact of the ongoing projects under the PIDF includes job creation and the facilitation of poverty alleviation, among others.


“The PIDF will complete four critical projects costing a total of $5.6bn (N2.3tn). The financing of these projects has the potential to yield between 274,000 and 616,000 new direct and indirect jobs,” the report read in part.


It added, “It will boost economic activities and spur an increase in investments, agriculture and trade between the commercial cities due to the improved and quicker access to markets.


“The roads will significantly open the economic corridors leading to massive improvement in manufacturing, trading and commercial activities driven by the ease of movement of people, services and raw materials.”


Also, Representative of the Department of Infrastructure, African Development Bank, Mike Salawou noted that the importance of road infrastructure cannot be overemphasized, stressing that it is an enabler of economic development.


According to him, "despite efforts of the African leaders in financing infrastructure projects, the continent is still far away from meeting its infrastructural needs. Africa is still far away from meeting infrastructural needs.

"The continent requires over $130 billion to meet the existing gap. Financing infrastructure is key to the development of any nation, but with government revenue, there is a need to partner with relevant stakeholders.


Salawou called on the governments to prioritise infrastructure projects in order to deliver value to citizens.

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