AfDB Launches $263.8Mn Infrastructure Project Financing In Abia

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The African Development Bank (AfDB) on Wednesday announced the launch of a $263.8m integrated infrastructure development project in Abia State, aimed at upgrading the state’s urban infrastructure and rehabilitating over 248 kilometres of roads across Umuahia and Aba towns.

The bank stated that the project, which was launched on July 11, would be implemented in partnership with the Islamic Development Bank (IsDB), the federal and Abia State governments.

It clarified: “The African Development Bank, in partnership with the Islamic Development Bank, Nigeria’s Federal Government, and Abia State, has launched the Abia State Integrated Infrastructure Development Project on July 11, 2025.

“The project is a transformative $263.8 million initiative to modernise urban infrastructure, enhance mobility, and promote inclusive, climate-resilient development.

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“The project addresses critical infrastructure gaps in urban transport, erosion control and waste management which have long constrained mobility, public health and economic productivity in the cities of Umuahia and Aba in Abia State.

“The African Development Bank is contributing $115m to the project, including $100m from its ADB window and $15m from the Canada-AfDB Climate Fund. The Islamic Development Bank is co-financing with $125m, while the Federal Government of Nigeria is providing $23.8m in counterpart funding

“The project will rehabilitate more than 248km of roads in the cities of Umuahia and Aba, restore two erosion sites, and catalyse private sector investment in solid waste management through public-private partnerships”, it added.

The AfDB noted that Abia State had been contending with ageing infrastructure, urban expansion, and environmental pressures that have hampered public health and economic productivity, particularly in Umuahia and Aba axis; and expressed optimism that the new project would mitigate these challenges in the state

In his remarks during the launching of the project event, Governor of Abia State, Dr. Alex Otti, described th projectas a turning point in the state’s development drive and thanked the AfDB board for the bank’s part-funding of the project.

The governor said: “The fruits of development are richer when supported by partners who believe in your vision. We are focused on raising living standards, expanding access to education and healthcare, and driving economic productivity. Investor confidence is growing, public optimism is rising, and Abia is emerging as a destination of choice for opportunity and impact.”

Also, Director-General of AfDB Nigeria Country Department, Dr Abdul Kamara, said: “At its core, this project is about lives, it is about reducing travel time by half, increasing incomes, improving access to schools and hospitals, and creating space for entrepreneurs, particularly women and youth, to thrive.” he said.

This is even as the Assistant Director at the International Economic Relations Department of the Federal Ministry of Finance, Dr. Akande Oyebola, noted that the project remained crucial to the government’s sustained efforts to boost economic growth, enhance infrastructure, and improve living standards in Abia State.

The project comprised several social and environmental safeguard measures such as training for women and youth entrepreneurs, resettlement assistance, awareness campaigns on HIV/AIDS and other infections, and enhancements to procurement and financial management systems.

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