Nigeria raises $500 million for Lagos airport reconstruction and aviation projects
Why It MattersThe funding signals Nigeria's push to modernise aviation infrastructure through domestic financing rather than external debt, potentially drawing further private investment into the sector.
Nigeria's federal government has raised $500 million for the reconstruction of Lagos airport and other aviation sector projects, Aviation and Aerospace Development Minister Festus Keyamo announced in Lagos at the 67th anniversary of Aero Contractors.
Keyamo said the funds were secured without borrowing, attributing the government's improved financing capacity to higher liquidity and stronger foreign reserves following the removal of the petrol subsidy and the liberalisation of the foreign exchange market.
The minister said more than 2,000 Nigerians are employed daily on the Lagos airport reconstruction, describing the project as both an infrastructure investment and a source of employment, with the government also hoping the programme will attract additional private investment into the aviation sector.
Keyamo cited the Abuja airport's second runway as a cautionary example of the financial consequences of project delays, noting the project's cost rose from an initial estimate of roughly ₦45 billion to nearly ₦500 billion.
