Nigerian govt approves $2.99bn for rails spanning Lagos, Kano, Kaduna

THE Federal Executive Council (FEC) has given the green light to a $2.99 billion package of rail projects spanning Lagos, Kano, and Kaduna, in what officials describe as a major step toward modernising urban transport across key economic hubs.

Addressing State House correspondents after Thursday’s FEC meeting in Abuja, Minister of Finance and Coordinating Minister of the Economy, Mr Taiwo Oyedele, said the approvals reflect the Nigerian government’s broader strategy to invest in infrastructure that boosts productivity, stimulates growth, and improves living standards.

Oyedele also disclosed that the council approved the establishment of a presidential power sector task force, which will be chaired by President Bola Tinubu, signaling a parallel push to address energy challenges alongside transport development.

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Providing details of the rail approvals, the minister said three flagship projects will be delivered under the new plan. These include the Lagos Green Line rail (Phase One), the Kano Metro City rail, and the Kaduna Light Rail system, each designed to transform mobility within their respective urban centres.

He explained that the projects will be financed through the Ministry of Finance Incorporated (MOFI), acting on behalf of the Federal Government, with additional funding expected from counterpart sources to ensure execution and sustainability.

According to Oyedele, the strategic importance of Lagos, Kano, and Kaduna informed the decision, noting that targeted investments in these cities could yield disproportionately high economic returns. He argued that focusing resources on such high-impact locations allows the government to maximise outcomes with relatively concentrated effort.

The Lagos Green Line, in particular, is expected to play a pivotal role in the state’s expanding rail network. The route is planned to run from Marina on Lagos Island through the Lekki corridor, one of sub-Saharan Africa’s busiest residential and commercial zones, and extend further as part of a broader metropolitan transit system.

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In northern Nigeria, the Kano Metro and Kaduna Light Rail projects are positioned to unlock similar benefits. Both initiatives are aimed at easing urban congestion, improving connectivity, and supporting trade and commercial activities in two of the region’s most economically significant cities.

Collectively, the three rail projects are expected to significantly improve urban mobility, reduce travel time, and strengthen economic linkages across Nigeria’s major population centres, reinforcing infrastructure as a central pillar of the government’s growth agenda.