The Abia State Government has announced the Federal Executive Council’s (FEC) approval of a $125 million Islamic Development Bank (IsDB) facility for the Abia State Integrated Infrastructure Development Project (ABSIID). The approval was granted at the FEC meeting held on Wednesday, August 13, 2025. the Abia State Government has announced the Federal Executive Council’s (FEC) approval of a $125 million Islamic Development Bank (IsDB) facility for the Abia State Integrated Infrastructure Development Project (ABSIID). The approval was granted at the FEC meeting held on Wednesday, August 13, 2025.
In a statement signed on August 14, 2025, by the Chief Press Secretary to Governor Alex Otti, Ukoha Njoku Ukoha, the government described the approval as a major milestone in a project that has undergone extensive consultations and procedural steps.
The ABSIID project has a total cost of $263.80 million, funded as follows:
- $125 million – Islamic Development Bank (IsDB)
- $100 million – African Development Bank (AfDB)
- $15 million – Canada–Africa Development Bank
- $23.80 million – Abia State Government counterpart funding
While the AfDB and Canada–Africa Development Bank agreements have been concluded— with the AfDB deal signed earlier this year— the IsDB facility is critical for the project’s take-off due to the integrated nature of the co-financing structure.
Scope of the Project
The IsDB financing will fund:
- 126 km of roads in Aba
- 35.57 km of roads in Umuahia
- A link road between Aba and Umuahia
- Critical erosion control works in project areas
When completed, the project is expected to:
- Reduce travel time in Abia’s busiest corridors
- Create over 3,000 jobs for residents
- Cut greenhouse gas emissions
- Improve access to essential services
- Attract private sector investment
Execution and Oversight
The Abia State Ministry of Works will execute the project under the guidance of a State Steering Committee, which will provide policy direction to the State Project Implementation Unit (SPIU). Procurement and disbursement will follow IsDB guidelines, with payments made directly to contractors and consultants.
Governor’s Appreciation
Governor Otti expressed gratitude to President Bola Ahmed Tinubu for his leadership, the National Assembly for approving the borrowing plan, the Minister of Finance, Mr. Wale Edun, for finalizing the financing process, the Secretary to the Government of the Federation, the Attorney General of the Federation, and the IsDB Vice President, Dr. Mansur Muhktar,
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