FG Secures £746m UK-Backed Deal to Transform Nigeria’s Seaports

The Federal Government has unveiled a £746 million financing agreement with the United Kingdom aimed at modernising Nigeria’s seaport infrastructure, in a move expected to reshape the country’s maritime and trade landscape.

Details of the agreement were provided by Bolaji Akinola, Special Adviser to the Minister of Marine and Blue Economy, who confirmed that the investment will focus on the comprehensive upgrade of the Lagos Port Complex in Apapa and the Tin Can Island Port Complex, both located in Lagos.

The financing, backed by UK Export Finance, will support extensive rehabilitation and modernisation works across the two critical facilities.

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Minister of Marine and Blue Economy, Adegboyega Oyetola, described the agreement as a major turning point for the sector, noting that it goes beyond routine upgrades.

“This financing agreement represents a defining moment for Nigeria’s maritime sector,” he said, emphasising that the initiative signals a shift toward long-term structural transformation.

He explained that the project marks the first comprehensive overhaul of the ports since their establishment, stressing that existing infrastructure has struggled to keep pace with evolving global shipping standards.

“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,” the minister added.

The Lagos Port Complex and Tin Can Island Port together account for more than 70 per cent of Nigeria’s import and export activities, making them central to the country’s trade ecosystem. However, both facilities have faced persistent challenges over the years, including congestion, extended cargo clearance timelines, and ageing infrastructure.

Under the new programme, the government plans to introduce advanced cargo-handling equipment, expand operational capacity, and deploy digital systems to streamline port processes. The reforms are expected to significantly reduce vessel turnaround time and cargo dwell time, while improving efficiency, transparency, and service reliability.

Officials say the upgrades will also ease logistics bottlenecks, lower the cost of doing business, and enhance the competitiveness of Nigerian ports within the West and Central African sub-region.

The agreement is scheduled for formal signing during the state visit of Bola Ahmed Tinubu to London, where discussions are expected to further strengthen bilateral economic cooperation.

Established in 1913, the Lagos Port Complex remains the country’s oldest and busiest seaport, while Tin Can Island Port, commissioned in 1977, was designed to complement its operations. Despite their strategic importance, both ports have seen limited large-scale upgrades over the past several decades.

The current initiative is being regarded as the most extensive port modernisation effort in nearly half a century, with the broader objective of positioning Nigeria as a leading maritime hub in the region.

Beyond infrastructure, the agreement also highlights deepening economic ties between Nigeria and the United Kingdom. Bilateral trade between the two countries has grown steadily, reaching approximately £8.1 billion annually, reflecting expanding commercial engagement across sectors.