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Federal Government Allocates N127 Billion to Sustain Ongoing Road Projects
The Federal Government has earmarked a substantial sum of N127 billion to ensure the continuation of road infrastructure projects initially financed by the Nigerian National Petroleum Company Limited (NNPCL). This move aims to maintain momentum on critical transportation developments across the nation.
Minister of Works Confirms Funding Transition
David Umahi, the Minister of Works, officially announced the funding allocation in a statement published on the Federal Ministry of Works’ website last Friday. The announcement underscores the government’s commitment to uphold and advance the road projects that were previously under the stewardship of NNPCL.
Shift in Oversight and Financial Responsibility
Following NNPCL’s decision to exit the tax-credit road initiative, effective from August 1, 2025, the Federal Ministry of Works has assumed full responsibility for the management and disbursement of funds related to these projects. This transition ensures uninterrupted progress and accountability in the execution of the road schemes.
Implications for Nigeria’s Infrastructure Development
This strategic funding and administrative handover come at a crucial time when Nigeria is intensifying efforts to improve its road network, which is vital for economic growth and regional connectivity. According to recent data from the National Bureau of Statistics, road transport accounts for over 90% of passenger and freight movement in Nigeria, highlighting the importance of sustained investment in this sector.
Looking Ahead: Enhancing Project Delivery and Quality
With the Ministry of Works now directly overseeing these projects, there is an increased focus on transparency, timely completion, and adherence to quality standards. The government is also exploring innovative financing models and public-private partnerships to complement existing funding and accelerate infrastructure development nationwide.
