Confirmed: Nigeria, UK seal £746m deal to upgrade Lagos Ports

NIGERIA and the United Kingdom have signed a £746 million ports redevelopment agreement to modernise key maritime infrastructure in Lagos, in what officials describe as one of the largest recent trade and investment partnerships between both countries.

The deal, backed by UK Export Finance (UKEF), will fund the refurbishment of two major facilities: the Lagos Port Complex and the Tin Can Island Port Complex. The project is expected to boost efficiency, cut cargo delays and strengthen Nigeria’s position as a leading maritime hub in West and Central Africa.

The agreement, signed on Thursday in London, also includes a Memorandum of Understanding (MOU) between both governments to deepen future cooperation in trade, infrastructure and industrial development.

Under the arrangement, at least £236 million of the total financing will go to British companies, supporting supply chains and jobs. A key component of the deal is a £70 million contract awarded to British Steel to supply 120,000 tonnes of steel billets for the project – the firm’s largest UKEF-backed export order to date.

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The financing will be delivered through UKEF’s Buyer Credit Facility, coordinated by Citibank, with Nigeria’s Nigerian Ports Authority (NPA) and the Federal Ministry of Finance as key parties to the agreement.

Speaking on the development, UK Business and Trade Secretary, Mr Peter Kyle, described the deal as a major boost for British manufacturing and a reflection of growing economic ties between both nations.

Nigeria’s Minister of Marine and Blue Economy, Mr Adegboyega Oyetola, said the port upgrade would significantly improve operational efficiency through automation and expanded capacity, reducing vessel turnaround time and cargo dwell periods.

He added that the modernisation would lower logistics costs, improve transparency in cargo movement and increase government revenue.

Construction firms, Hitech Construction Company and ITB Nigeria, will execute the project, leveraging their experience in large-scale infrastructure delivery.

Chief Executive Officer of UKEF, Mr Tim Reid, said the agreement demonstrates the agency’s capacity to unlock large-scale investments while supporting sustainable economic growth in key markets.

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The deal is also expected to support thousands of skilled jobs across both Nigeria and the UK, while signalling increased investor confidence in Nigeria’s trade infrastructure and long-term growth prospects.

Officials noted that UKEF’s exposure in West and Central Africa has grown significantly in recent years, with over £3 billion in support since 2018, reflecting rising demand for diversified global trade partnerships.