AfDB approves $115m loan for Abia
The board of directors of the African Development Bank Group has approved $115m loan to support a major road rehabilitation project in Abia State.
The project would ensure the rehabilitation of roads, erosion control, infrastructure and preparation of solid waste management facilities in the state capital, Umuahia, and the commercial hub, Aba.
In a statement, the Director-General of the African Development Bank’s Nigeria Country Department, Lamin Barrow, said the project would build resilience by providing the towns access to urban infrastructure services, including economic and social amenities.
The statement said the financing for the project, estimated at a total cost of $263.8m would come through an African Development Bank loan of $100m; a Canada–African Development Bank Climate Fund loan of $15m; and a $125m co-financing loan from the Islamic Development Bank.
The Abia State government would provide $23.8m in counterpart funding for compensation to people affected by the project and implementation of a resettlement action plan.
Under the project, which was expected to be completed in 2029, a total of 248.46 km of road – 58.03 km of roads in Umuahia and 190.43 km of roads in Aba would be rehabilitated to asphaltic concrete standards at varying cross sections.
Erosion sites in Umuahia and Aba would be reinstated as well as preparatory studies undertaken for private sector participation in solid waste management for the two cities.