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Nairametrics
Home Sectors Real Estate and Construction

FG, AfDB seek action on delayed $263 million Abia infrastructure project

Emmanuel Azubuike by Emmanuel Azubuike
March 26, 2026
in Real Estate and Construction, Sectors
Abia State Governor, Alex Otti sitting in a chair in the office
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The Federal Government of Nigeria and the African Development Bank (AfDB) have called on the Abia State Government to urgently remove bureaucratic bottlenecks delaying the take-off of the $263.8 million Abia State Integrated Infrastructural Development (ABSIID) project.

The call was made during a visit by a joint delegation of the Federal Government and AfDB to Umuahia, led by Dr. Oyebola Akande, who represented the Ministry of Finance, where they held discussions with Governor Alex Otti on accelerating the stalled project.

The delegation disclosed that two years of the five-year implementation timeline have already been lost due to delays.

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The ABSIID project, launched in July 2025, is a multi-sector initiative designed to rehabilitate over 248 kilometres of roads, improve waste management systems, and tackle erosion challenges across Abia State. Key components include 126 kilometres of roads in Aba and 35.57 kilometres in Umuahia, alongside environmental interventions.

What they are saying

At the core of the discussions was the need to fast-track implementation and prevent further delays that could undermine the project’s impact.

Leading the delegation, Dr. Oyebola Akande, who represented the Ministry of Finance, emphasized that all parties must act swiftly to recover lost time and deliver results.

  • “Our mission here today is to see how we can accelerate this project. The state has a role to play, the Federal Government has a role to play, while the bank also has a role to play,” she said.

AfDB representative Sheila Akyza described the ABSIID initiative as one of the most impactful projects secured by the current administration, stressing the bank’s commitment to ensuring its swift execution for the benefit of residents.

Responding, Governor Otti attributed the delays to a communication gap rather than institutional inefficiencies, noting that he had not been adequately briefed on the project’s status.

He pledged immediate action to resolve all outstanding issues and ensure a prompt start.

  • “Clearly, I have not been getting the right messages and the right situational report… Whatever it takes, we must flag-off in April… we want to start, latest by April,” the governor said.

Backstory

On July 16, Nairametrics reported that Abia State secured a $263.8 million financing package from the AfDB, the Islamic Development Bank, and the Federal Government to address critical infrastructure deficits in Aba and Umuahia.

  • The package includes $115 million from AfDB, comprising $100 million from its core window and $15 million from the Canada-AfDB Climate Fund, alongside $125 million from the Islamic Development Bank and $23.8 million in counterpart funding from the state.

Beyond infrastructure, the project incorporates social impact components such as job creation, with over 3,000 temporary construction jobs and 1,000 permanent roles expected, alongside skills development and support for women and youth entrepreneurs.

What you should know

The ABSIID project adds to a growing list of development initiatives in Abia State, including investments by foreign bodies, national partners, and the Federal Government.

  • In November 2023, Nairametrics reported that the state received $100 million in financing from the African Development Bank Climate Fund.
  • In addition to this, last year, Nairametrics disclosed that the state was set to spend over €2.6 million to inaugurate the Solar for Health project, which aims to promote renewable energy in healthcare facilities across the state.

While Abia was one of six states selected to benefit from the Solar for Health program, having met all eligibility requirements, the EU will provide over €2 million for the project, while Abia State will contribute more than €624,000 as counterpart funding.

Also, the state partnered with the Federal Government to construct Abia’s first airport. Other projects, such as the 188MW Geometric Power Plant in Aba, add to the state’s effort to revive economic activities through capital projects.


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Emmanuel Azubuike

Emmanuel Azubuike

Emmanuel Azubuike is a human interest journalist based in Lagos, Nigeria. With over four years of experience in journalism, he focuses on telling deeply reported stories at the intersection of markets, government policy, and technological advancement — and how they shape everyday lives.

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