The Federal Government has proposed an allocation of N2.47 trillion for the rehabilitation and reconstruction of 124 strategic roads across the country in the 2026 budget, with the projects aimed at improving transport infrastructure, supporting economic activities and strengthening regional connectivity.
The proposed road projects span both northern and southern Nigeria, focusing on key transport corridors that facilitate trade, agriculture and the movement of goods. Economic analysts say upgrading the roads could lower logistics costs, improve market access and stimulate growth across several sectors.
Among the major projects is the dualisation of the 105-kilometre Borno-Kano road, which has been allocated N13.3 billion. The route is expected to enhance the movement of agricultural produce from Borno, Yobe, Jigawa and Bauchi states to Kano, a major commercial centre in northern Nigeria.
The government has also earmarked N12.6 billion for the rehabilitation and construction of two sections of the Lokoja-Abuja highway, a key transport link connecting northern and southern parts of the country.
Another priority project is the Enugu-Port Harcourt road, where N19.6 billion has been proposed for work on Sections III and IV. The highway links major industrial and commercial centres in the South-East and South-South regions.
To strengthen cross-border trade, the government plans to spend N4.2 billion on rehabilitating the 30.6-kilometre Gbagi-Apa-Owode road in Badagry, which connects communities to the Seme border with the Republic of Benin. In addition, N1.4 billion has been allocated for access roads linking the Second Niger Bridge with Onitsha in Anambra State and Asaba in Delta State.
The Kano-Katsina highway, another major commercial route serving northern Nigeria and neighbouring Niger Republic, is expected to receive N23.6 billion for its dualisation.
Emerging markets analyst Ike Ibeabuchi said improved infrastructure along the corridor would strengthen domestic and cross-border trade by providing farmers with easier access to major markets.
The budget also includes N7.7 billion for the rehabilitation of the Aba-Owerri-Ikot Ekpene road, which connects commercial and industrial centres across Abia, Akwa Ibom and Imo states. The project is expected to benefit manufacturers and traders, including Aba’s footwear industry.
In Lagos, N1.4 billion has been allocated for rehabilitation work on the Ikorodu-Shagamu road, an alternative route to the Lagos-Ibadan Expressway, while another N1.4 billion is proposed for repairs to the Iganmu Bridge, a key link to the Lagos port corridor.
Other projects include N1.75 billion for rural feeder roads serving farming communities in Ikirun, N3.5 billion for the upgrade of Ekiti Cargo Airport, N7 billion for the Abeokuta-Ibooro road, and N4.2 billion for the construction of the Ibi Bridge in Taraba State.
The government also plans to invest N7 billion in the Kano-Dayi road, N4.2 billion in the rehabilitation of the Kunya-Kanya-Barbura-Mutum road in Jigawa State, and N6.3 billion for the FCET New Site-Bagwai-Gwarzo road in Kano.
Additional allocations include N25.2 billion for the four sections of the Ota-Idiroko road, N3.5 billion for the dualisation of the Bende-Ohafia road with four bridges, N3.5 billion for the rehabilitation of the Iyamoye-Omuo-Ekiti-Ikole-Ifaki corridor in Kogi and Ekiti states, N7 billion for repairs to washout sections in Rivers, Delta and Akwa Ibom states, N17.8 billion for the Benin-Akure-Ilesha road dualisation, N14 billion for the Kano Bypass, and N12.6 billion for the rehabilitation of the Onitsha-Owerri road.
The proposed spending comes as Nigeria continues to grapple with a significant infrastructure deficit. Estimates indicate that the country’s infrastructure stock accounts for only about 30 to 35 per cent of Gross Domestic Product, well below the 70 per cent benchmark often cited for emerging middle-income economies.
Former Minister of Finance and Coordinating Minister of the Economy, Olawale Edun, has previously estimated Nigeria’s annual infrastructure investment gap at about $14 billion. Meanwhile, the Alvin Report warned that decades of underinvestment, combined with rapid population growth, could widen the deficit to between $20 billion and $25 billion by 2035 if investment levels remain inadequate.
The Nigerian Economic Summit Group has also identified poor transport networks, unreliable electricity supply and weak logistics infrastructure as major constraints to business competitiveness, warning that these shortcomings continue to discourage investment and raise operating costs.
Consultant economist Chukwunonso Iheoma, however, expressed concern over the implementation of the proposed budget, arguing that allocations alone would not guarantee improved infrastructure.
He said delayed releases and weak budget execution had remained persistent challenges, noting that the 2025 budget was still being implemented. According to him, unless adequate funds are released on schedule, many of the proposed projects may fail to achieve their intended impact.
