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Home Business News

Peter Obi calls for port diversification beyond Lagos amid $1 billion Apapa and TinCan upgrade 

Caleb Obiowo by Caleb Obiowo
October 27, 2025
in Business News
Peter Obi raises alarm over latest to discredit him, says his duplicates on rampage
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Peter Obi, former governor and presidential candidate, has called on the Federal Government to diversify port development beyond Lagos, following the approval of $1 billion (approx. N1.5 trillion) for the modernisation of the Apapa and TinCan Island Ports.

Obi made the call via a statement on his official X account on Friday, stressing the need for equitable infrastructure investment across Nigeria’s maritime sector.

While acknowledging that modernising Lagos ports is commendable, Obi warned that the country’s heavy concentration of port activities in Lagos creates chronic congestion, high demurrage costs, and environmental pressures that undermine trade efficiency.

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He argued that other strategic ports, including Warri, Port Harcourt, Calabar, and Onne, remain underdeveloped, despite their potential to stimulate regional economies, create jobs, and reduce pressure on Lagos.

“I have noted the Federal Government’s recent approval of $1 billion (N1.5 trillion) for the modernisation of the Apapa and TinCan Island Ports in Lagos. While any effort to improve efficiency and embrace technology in our maritime sector is commendable, such an initiative must be guided by accountability, transparency, and equity for all Nigerians. However, this development once again exposes a longstanding concentration of our port development only in Lagos.  

“Nigeria’s infrastructure investment remains excessively concentrated in Lagos, often at the expense of other strategic ports such as Warri, Port Harcourt, Calabar, and Onne. If fully developed, these ports could enhance productivity, drive trade, create jobs, and open new economic corridors that would lift millions out of poverty across the federation,” the statement read in part. 

More insights  

Obi highlighted global examples of decentralised port systems, citing Vietnam’s 300 ports, Indonesia’s 111 commercial ports, and South Africa’s eight major seaports, noting that these countries benefit from nationwide connectivity, improved logistics, and balanced economic growth. Even Ghana, with only two major ports, ensures they are geographically spread to maximise efficiency.

  • He further stressed that beyond physical infrastructure, reforms must tackle corruption, reduce bureaucracy, and embrace technology to create a seamless, paperless port system that improves turnaround times and global competitiveness.
  • Obi emphasized that if prudently managed, the Lagos modernisation could serve as a model for broader maritime transformation across the nation.

He also called for fairness and equity in Nigeria’s infrastructure planning, arguing that a truly national blue economy must involve every region and shift the country from one driven by consumption to one focused on production and shared prosperity.

What you should know  

The Apapa and TinCan Island ports, two of Nigeria’s busiest seaports, recently received Federal Government approval of $1 billion for modernisation.

According to Marine and Blue Economy Minister Adegboyega Oyetola, the upgrades aimed to improve cargo handling, expand capacity to meet global standards, and introduce a paperless, technology-driven port system to enhance efficiency, reduce turnaround time, and curb corruption.

  • He added that the government had begun the procurement process for similar modernisation projects at ports outside Lagos, highlighting that the Lagos upgrades formed part of the ministry’s 10-year marine and blue economy strategy.
  • Earlier, in April 2024, the Nigerian Ports Authority announced it was set to receive a $700 million loan from Citibank, funded by UK Export Finance, to revamp the Apapa and TinCan Island ports. NPA Managing Director Mohammed Bello-Koko shared on his official X account that he had signed the Mandate Letter and Term Sheet for the loan.
  • The funds were intended to rehabilitate the quay wall for landside operations, improve other infrastructure, and deepen the draft to 16.5 meters to accommodate larger vessels. Implementation was to follow approvals from the Minister of Marine & Blue Economy, the Minister of Finance, and the Debt Management Office.

However, it has not been explicitly stated whether the recent $1 billion federal approval for Apapa and TinCan Island port modernisation is connected to this earlier $700 million loan.

Caleb Obiowo

Caleb Obiowo

Caleb Obiowo is a graduate of Urban and Regional Planning from the University of Uyo. At Nairametrics, he covers transport and logistics in Nigeria, along with real estate, construction, and aviation. He focuses on delivering clear, easy-to-understand stories and often digs deeper into industry issues through conversations with key players.

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