14th August 2025
Abia State Government has announced that the long-awaited $125 Million Islamic Development Bank financing facility for the Abia State Integrated Infrastructure Development Project has been approved by the Federal Executive Council at its meeting of Wednesday, August 13, 2025.
This was contained in a statement issued on Thursday and signed by the Chief Press Secretary to the Executive Governor of Abia State, Ukoha Ukoha.
The statement stated, “This approval marks a major milestone in a project that has undergone extensive consultations and procedural steps, and is a critical component of the overall co-financing arrangement for the State’s ambitious infrastructure development drive.
“The project’s total cost is USD 263.80 million, comprising of USD 125 million from the Islamic Development Bank [ IsDB], USD 100 million from the African Development Bank (AfDB), USD 15 million from the Canada–Africa Development Bank; and USD 23.80 million counterpart funding from the Abia State Government.
The IsDB facility is particularly significant because its financing agreement must be signed for the project to proceed, given the integrated nature of the co-financing structure. The AfDB and Canada–Africa Development Bank financing agreements have already been concluded, with the AfDB loan agreement signed earlier this year.”
Explaining further, the statement added that “Under the project, the IsDB financing will support the construction of approximately 126 kilometres of road network in Aba and 35.57 kilometres in Umuahia, including a link road between the two cities, as well as critical erosion control works within the project sites.
“When completed, the project will reduce travel time in Abia’s busiest urban corridors; create over 3,000 jobs for local residents; reduce greenhouse gas emissions, improve access to social services; and attract private sector investment.
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