Nigeria and the United Kingdom have sealed a £746 million export finance deal to support the redevelopment of two major ports in Lagos.
The agreement was announced during a meeting between Prime Minister Keir Starmer and President Bola Tinubu at Downing Street in London on Thursday.
Under the deal, UK Export Finance (UKEF) will guarantee loans for the refurbishment of the Apapa and Tin Can Island port complexes.
The financing arrangement will, reportedly, be coordinated by Citibank.
As part of the agreement, British Steel will supply 120,000 tonnes of steel for the port projects under a contract valued at £70 million.
The deal is expected to generate £236 million in supplier contracts for British companies, as at least 20 percent of the project components must be sourced from the UK.
The UK government said the steel contract is the largest export, backed by UKEF for British Steel.
The agreement was signed on behalf of Nigeria by Wale Edun, minister of finance, and Blair McDougall MP, the parliamentary under-secretary of state and UK minister for small business and economic transformation, on behalf of the British government.
Edun said the deals are consistent with Nigeria’s priority on infrastructure, energy, and industrial development.
He noted that the increasing emphasis on bilateral partnerships would help attract the scale of investment required to boost economic activity, create jobs, and reduce poverty, in line with the administration’s ‘renewed hope’ agenda.
The minister said the agreements underscore growing confidence and mutual trust between both countries, as well as a shared commitment to deliver tangible economic outcomes for Nigeria and the United Kingdom.
Also commenting on the deal, the ministry of marine and blue economy said the redevelopment of the two ports would strengthen the country’s position in regional trade.
Adegboyega Oyetola, minister of marine and blue economy, said the project would “strengthen Nigeria’s position as a leading maritime hub in West and Central Africa”.
The agreement, struck during Tinubu’s state visit to the UK, was described by Starmer as the first by a West African leader in 37 years.
Speaking after the meeting, the prime minister said the visit marked a “historic” moment in bilateral relations.
On his part, Tinubu described his state visit to the United Kingdom, the first by a Nigerian leader in 37 years, as “very thrilling and significant” in strengthening bilateral relations between the two nations.
“We can not forget the institutional development we have enjoyed over the years,” the Nigerian leader said.
