BUSINESS AND ECONOMY

Abia State Secures $263.8m from AfDB and IsDB Funding for Roads, Erosion, and Waste Projects

Abia State secures $263.8 million from AfDB, IsDB, and FG for massive infrastructure upgrade.

The project targets roads, erosion control, and waste management across Aba and Umuahia, boosting development.

The Abia State Government has secured a substantial $263.8 million funding package from the African Development Bank (AfDB), Islamic Development Bank (IsDB), and the Federal Government of Nigeria to address significant infrastructure challenges in Aba and Umuahia.

This landmark development was announced in a statement by the AfDB following the official launch of the Abia State Integrated Infrastructure Development Project on July 11, 2025.

The Bank stated that the project aims to improve city infrastructure, boost transportation, and support inclusive, climate-resilient growth in Abia’s two major cities.

  • AfDB: $115 million ($100 million from its ADB window, $15 million from the Canada-AfDB Climate Fund (CACF))
  • Islamic Development Bank: $125 million
  • Federal Government of Nigeria: $23.8 million in counterpart funding

The integrated project targets critical sectors, including road rehabilitation, erosion control, and solid waste management, which have historically hindered economic productivity and quality of life in the state.

The initiative will see the reconstruction and modernization of over 248 kilometers of roads in Aba and Umuahia. It will also include the restoration of two major erosion sites and the promotion of public-private partnerships to boost investment in solid waste management.

The AfDB highlighted that the project directly addresses long-standing issues related to urban decay, environmental degradation, and poor service delivery, which have been exacerbated by years of underinvestment in public infrastructure.

In addition to infrastructure upgrades, the project includes strong social development components:

  • Over 3,000 temporary jobs will be created during the construction phase.
  • Upon completion, one thousand permanent jobs will be secured, with 50% earmarked for youth.
  • Training programs, HIV/AIDS awareness campaigns, resettlement assistance, and support for women and youth entrepreneurs are also built into the plan.

Speaking at the project launch, Governor Alex Otti hailed the initiative as a “defining moment” in Abia’s development agenda. He reaffirmed his administration’s commitment to transparency, accountability, and better service delivery across the state.

The AfDB also confirmed it will provide technical oversight and monitor progress through its Nigeria Country Department and specialized sector teams, ensuring that all implementation benchmarks are met.

Osemekemen

Ilumah Osemekemen is Editor at Newskobo.com. A Business Administration graduate, he produces researched content on business, tech, sports and education, delivering practical… More »

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