The Nigerian Ports Authority (NPA) is scheduled to get a $700 million loan from Citibank, which will be financed by UK Export Finance. The investment is intended to renovate Lagos State’s Apapa and Tincan Island ports.
Mohammed Bello-Koko, the Managing Director of NPA, disclosed this development on Wednesday via his official X (formerly Twitter) account, indicating that he had executed the loan’s Mandate Letter and Term Sheet.
He said that the money would be used to improve other infrastructure, repair the quay wall for landside operations, and deepen the draft to 16.5 meters to accommodate larger vessels at both ports.Â
However, the project won’t proceed until the Debt Management Office, the Minister of Finance, and the Minister of Marine & Blue Economy have given their assent.
“This evening, I had the pleasure of signing the Term Sheet and Mandate Letter for @Citibank’s $700 million loan to renovate the Apapa and TinCan Island Ports, which will be funded by UK Export Finance (UKEF).”
“Our goal is to restore the crumbling quay wall for landside activities and other physical infrastructure in order to extend the drought to 16.5 meters in order to make room for larger vessels.”
A portion of the statement said, “I am delighted to announce that Citibank offered us the most competitive rate.”
As part of the Ministry of Marine & Blue Economy’s port modernization program, negotiations with other multilateral funding agencies are almost finished regarding the restoration of the ports of Calabar and Onne as well as the Warri Escravos breakwater, according to the NPA Managing Director’s statement.
To strengthen Nigeria’s trade competitiveness, Bello-Koko, the Managing Director of the Nigerian Ports Authority (NPA), said on November 7, 2023, that $1.1 billion would be allocated for port rehabilitation in the first quarter of 2023.
The managing director of NPA noted that nearly all Nigerian ports need to be renovated.
Bello-Koko further revealed that NPA was beginning a comprehensive renovation for every port, beginning with the Lagos ports of TinCan and Apapa.
