President Bola Tinubu has written to the Senate seeking approval for a $516.3 million fresh foreign loan to finance sections of the proposed Sokoto–Badagry superhighway project.

In a letter read by the Senate President, Godswill Akpabio, the request included approval for financing from Deutsche Bank to fund Sections 1, 1A and 1B of the highway, as well as the inclusion of the loan in the federal government’s borrowing plan already approved by the legislature.

The proposed 1,000-kilometre highway is expected to link Sokoto, Kebbi, Niger, Kwara, Oyo, Ogun and Lagos states, stretching from Illela to Badagry, and is projected to enhance trade, reduce travel time and improve road safety.

Speaking on the project, Adamu Aliero, representing Kebbi Central, commended the president, noting its potential impact on national security and economic development.

The Senate referred the request to its committee on local and foreign debts for further legislative scrutiny, directing it to report back within one week.

The Senate leadership, subsequently, urged its committee on local and foreign debts to expedite its review to enable timely consideration of the request.

The loan is expected to have a tenure of nine years, including a three-year grace period, with an interest rate tied to the Secured Overnight Financing Rate, SOFR, plus 5.3%.