Nigeria reaches £746 million deal with UK to upgrade ports

Nigeria has entered an export finance deal of £746 million with the United Kingdom, aimed at modernising two of its major seaports – Lagos Port Complex and TinCan Island Port Complex – and positioning them to be globally competitive.

The UK Export Finance is guaranteeing the fund, which will enhance maritime logistics and trade efficiency at the country’s busiest seaports.

The deal announced on Thursday comes during President Bola Tinubu’s state visit to King Charles of Britain at Windsor Castle, the first by a Nigerian in nearly four decades.

“Together, the two ports handle more than 70 per cent of Nigeria’s imports and exports and serve as the central arteries of the nation’s maritime trade,” a statement by the Federal Ministry of Marine and Blue Economy said.

Stay Ahead with Premium Times

Add as a preferred source on Google

The loan was arranged by Citibank, and will enable British companies to facilitate £236 million of the supply. British Steel will handle a £70 million contract in the course of the project.

The push, which supports the deepening of harbour channels, fortification of quay walls and installation of state-of-the-art cargo-handling machinery at the ports, will also advance trade between Nigeria and UK, currently estimated at £8.1 billion annually.

Digital transformation aimed at increasing efficiency in the operations of the ports is central to the redevelopment projects, which is anticipated to span 48 months, with the first quarter of 2026 set as the commencement date.

READ ALSO: Tinubu directs suspension of cashless payment at airports

“What we are set to do is not merely an upgrade, but a comprehensive transformation that will bring our ports into alignment with international best practice,” said Gboyega Oyetola, the minister of marine and blue economy.

“Modern infrastructure supported by digitalised and automated processes will significantly enhance efficiency, transparency, and operational reliability. Our objective is clear: to create a port system that is modern, competitive, and capable of serving as a strategic maritime hub for West and Central Africa,” he added.

The upgrade will include an automation of customs clearance processes as well as an integration of the National Single Window platform, an initiative aimed at implementing a centralised electronic trade platform. It is also planned to support an expansion of port capacity and curb operational bottlenecks that have hampered cargo movement at the ports.