By Heapnews
Lagos State on Friday signed a €170 million ($196 million) financing agreement with the European Investment Bank’s development arm, EIB Global, to expand water transport infrastructure and deploy electric ferries in Africa’s most populous city, officials said.
The funding will support the “Omi Eko” project, an ambitious initiative aimed at transforming Lagos’ waterways into a sustainable public transport network and easing pressure on the city’s congested roads.
The agreement was signed at the headquarters of the Lagos State Waterways Authority (LASWA) in the presence of EIB Vice-President Ambroise Fayolle, European Union Ambassador to Nigeria Gautier Mignot, and French Consul General Laurent Favier.
The EIB loan, backed by an EU guarantee under the Global Gateway initiative, forms part of a broader €410 million financing package involving the European Union, the French Development Agency (AFD), and the EIB. The package includes a €130 million sovereign loan from AFD and a €60 million investment grant from the European Commission.
Under the project, Lagos will construct new ferry terminals and passenger stations, acquire electric-powered ferries, and develop maintenance facilities to support a modern water transport system.
Officials said the project will establish 15 ferry routes spanning about 140 kilometres, connecting 25 upgraded terminals and deploying 75 electric ferries capable of carrying up to 440 passengers each.
The initiative is expected to increase the share of waterborne transport in Lagos from less than 1% currently to as much as 8% by 2032, while reducing greenhouse gas emissions, cutting water pollution, and improving access for waterfront communities.
“The EIB’s commitment to the Omi Eko Project is highly commendable,” Lagos State Commissioner for Transportation Oluwaseun Osiyemi said in a statement.
“We are fully committed to providing the enabling environment required for the success of this partnership, including policy consistency, transparency and effective collaboration.”
Lagos State Governor’s Special Adviser on Blue Economy, Oluwadamilola Emmanuel, described the agreement as a major step towards unlocking the state’s maritime economic potential.
“We are confident that with the support and expertise of the European Investment Bank, the Omi Eko Project will stand as a landmark achievement,” he said.
EIB Vice-President Fayolle said the project would provide safer, more affordable and efficient transport for Lagos residents while supporting sustainable economic growth.
“We strongly support this flagship green project, which will improve the daily lives of Lagos’ large population while boosting sustainable growth and job opportunities,” Fayolle said.
EU Ambassador Mignot said the scale of European support reflected the bloc’s commitment to strengthening infrastructure and connectivity in Nigeria and West Africa through its Global Gateway strategy.
The project aligns with Nigeria’s National Development Plan 2021-2025, which prioritises investment in critical infrastructure, and supports several United Nations Sustainable Development Goals.
Since beginning operations in Nigeria in 1978, the EIB has invested approximately €2.3 billion in projects spanning transport, energy, agriculture, innovation and financing for small and medium-sized enterprises.