FIC Report (Abia State) – The Abia State Government is delighted to announce that the long-awaited USD 125 Million Islamic Development Bank (IsDB) financing facility for the Abia State Integrated Infrastructure Development Project has been approved by the Federal Executive Council (FEC) at its meeting of, under the leadership of President Bola Ahmed Tinubu, GCFR.
This landmark approval is a direct outcome of the President’s pragmatic leadership and unwavering commitment to advancing infrastructure across the country, in line with his Renewed Hope Agenda. It also reflects his administration’s resolve to ensure that every state of the federation benefits from strategic investments that promote sustainable development, economic empowerment, and national cohesion.
The IsDB facility forms a critical part of the co-financing arrangement for Abia State’s ambitious infrastructure programme, with a total project cost of USD 263.80 million, comprising:
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
USD 23.80 million counterpart funding from the Abia State Government
The AfDB and Canada–Africa Development Bank agreements have already been concluded, while the signing of the IsDB facility—now approved by the FEC—is the final piece required for the project to proceed.
The IsDB financing will support the construction of:
126 kilometres of road network in Aba
35.57 kilometres of roads in Umuahia, including a link road between Aba and Umuahia
Critical erosion control works within the project sites
Upon completion, the project will:
Reduce travel time in Abia’s busiest corridors
Create over 3,000 local jobs
Reduce greenhouse gas emissions
Improve access to social services
Attract private sector investment into Abia
Implementation Structure
The project, fully owned by the Abia State Government, will be executed through the State Ministry of Works under the oversight of the State Steering Committee. Procurement for IsDB-financed components will follow the Bank’s strict procurement guidelines, with disbursements made directly to contractors and consultants.
Leadership and Appreciation
His Excellency, Dr. Alex Otti, OFR, Governor of Abia State, expressed deep appreciation to:
President Bola Ahmed Tinubu, GCFR, for his trust, vision, and leadership in steering this approval through the FEC;
The National Assembly, for approving the borrowing plan;
The Honourable Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, for his leadership in concluding the financing process;
The Secretary to the Government of the Federation and the Attorney General of the Federation for their invaluable facilitation roles;
The Vice President of IsDB, Dr. Mansur Muhktar, who initiated engagement with the State in November 2023 and championed the internal approval process;
All other stakeholders who contributed to this milestone achievement.
Governor Otti further emphasized that this facility will complement his administration’s ongoing drive to modernize road networks, revitalize urban centres, and integrate sustainable practices in infrastructure delivery, while reinforcing the bold infrastructural development vision of President Bola Ahmed Tinubu’s administration.
This marks not only a victory for Abia State but also a demonstration of how collaboration between the Federal Government and sub-nationals can accelerate the delivery of infrastructure that improves lives and drives inclusive economic growth.
Signed
Abiakam Gloria Ify
HOC, FIC Umuahia Abia State
16th August, 2025.
