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The Board of Directors of the African Development Bank (AfDB) Group has approved a $115 million loan for Abia State to rehabilitate roads, manage erosion and solid waste in Umuahia and Aba.
Money for the project, estimated at $263.80 million, consists of a $100 million AfDB facility, a Canada-African Development Bank Climate Fund (CACF) loan of $15 million and a $125 million co-financing loan from the Islamic Development Bank.
The state government is to provide $23.80 million in counterpart funding for compensation to people affected by the project and implementation of a Resettlement Action Plan.
Under the scheme which is expected to be completed in 2029, a total of 248.46 kilometres of road, comprising 58.03 kilometres and 190.43 kilometres of highway in Umuahia and Aba respectively, are to be refurbished in asphaltic concrete.
Erosion sites in both cities would be reinstated, besides preparatory studies to be undertaken for private sector participation in solid waste management in the capital and the state’s commercial hub.
The project also includes capacity building, management and development of social infrastructure such as rehabilitation and provision of sanitation facilities in schools, community markets and hospitals.
With an estimated population of 553,000 and 814,000 respectively (2022 estimates), Umuahia and Aba are currently facing serious infrastructure challenges, arising from decades of under-investment amid rapid urbanisation.
The situation is aggravated by gully erosion and emergence of huge piles of solid waste on roads.
Director General of AfDB’s Nigeria Country Office, Lamin Barrow
When executed, the 1.37 million populations in the two cities would benefit from reduced travel time, vehicle operating costs and fare. The project will also create 3,000 temporary jobs (30 per cent for women) at the construction phase and about 1,000 permanent employments during the operational phase.
The permanent jobs would particularly benefit the youth, who will make up 50 per cent of the project. They are to be trained in contract management by the Abia State Youth Road Maintenance Corps, a body of young Abian engineers drawn from the 17 councils, for highway maintenance,
Director General of AfDB’s Nigeria Country Office, Lamin Barrow, said the scheme would build resilience by providing the towns access to urban infrastructure services, including economic and social amenities.
“The results from implementation of the project will help expand access to economic and social amenities in the two cities, and thereby contribute to building sustainable and liveable cities”.
The continental lender’s portfolio in the country comprises 48 operations worth $4.2 billion. The national (federal and states) operations account for 90 per cent of the portfolio, for 41 projects, amounting to $3.79 billion, while multinational operations constitute 10 per cent, for seven projects, totalling $0.41 billion.
There are 24 sovereign operations ($2.36 billion or 56 per cent of total commitments) and 24 non-sovereign operations ($1.84 billion or 44 per cent)
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