FEC approves $2.76 billion, €200 million financing for transportation, agriculture, MSMEs

The Federal Executive Council (FEC) has approved financing packages worth about $2.76 billion, €200 million and N215 billion to support transportation, agriculture, renewable energy, infrastructure and micro, small and medium-sized enterprises (MSMEs).

The approvals were announced by the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, after Monday’s FEC meeting chaired by President Bola Tinubu.

According to the minister, the Council considered 14 memoranda presented by the Ministry of Finance, with the approvals aimed at supporting the administration’s Renewed Hope Agenda through strategic investments across key sectors of the economy.

What the Finance Minister is saying

Oyedele said the financing approvals were grouped into five strategic areas designed to boost economic growth and productivity.

• “For Council, we made very strategic decisions, which I have categorised under five headings.”
• “The first approval focuses on transportation and how to reduce its cost.”
• “Altogether, we have different financing arrangements amounting to 900 million U.S. dollars.”
• “We must continue to support small businesses because supporting them is supporting ourselves.”

He added that the approved financing packages are expected to improve infrastructure, strengthen agricultural productivity, expand access to clean energy and improve access to affordable financing for small businesses.

More insights

The approved financing covers several priority sectors of the economy.

• FEC approved N215 billion to complete investments under the Presidential Compressed Natural Gas (CNG) Initiative, covering buses, electric vehicles, tricycles and CNG conversion centres.
• The Council also approved $900 million for agricultural development, including rural technical training, Special Agro-Industrial Processing Zones and value-chain development.
• A further $160 million was approved for rural solar electrification projects, comprising $150 million from the Islamic Development Bank and $10 million in counterpart funding.
• FEC also approved $1.2 billion for Section Two of the Sokoto–Badagry Super Highway and €200 million alongside $500 million through the Development Bank of Nigeria to improve access to affordable financing for MSMEs.
• Oyedele noted that the Sokoto–Badagry Super Highway would improve connectivity across 11 states while supporting logistics, trade and broader economic integration.

The approvals signal the Federal Government’s continued reliance on external and development financing to accelerate infrastructure delivery, strengthen agricultural productivity, expand renewable energy access and improve financing for small businesses.

What you should know

In May, Nairametrics reported that FEC approved $2.99 billion for the Lagos Green Line, as well as rail projects in Kano and Kaduna, aimed at expanding Nigeria’s urban rail infrastructure.

The Council said the $2.99 billion rail projects are linked to the federal government’s capital expenditure plans for 2025 and 2026.

In September 2025, the Minister of Information and National Orientation, Mohammed Idris, disclosed that about N250 billion had been secured for rail development in Kaduna and Kano, with N150 billion allocated to Kano and N100 billion to Kaduna.