₦airaland Forum

President Tinubu, Terminate the Dodgy £746 Million Ports Deal, Now

By
Obiageli “Oby” Ezekwesili

One hundred and fifty‑two days after President Bola Tinubu signed a £746 million ports financing deal with the United Kingdom at Windsor Castle, neither government has disclosed the terms of the agreement. I initially held back from commenting, prioritising Nigeria’s spiraling insecurity. But the persistent silence surrounding this deal and the pattern of opaque governance it reflects makes further waiting irresponsible.

Nigeria’s public debt has exploded from ₦87 trillion in May 2023 to over ₦152 trillion today. Debt service now gulps more than 60 percent of government revenues, leaving crumbs for health,
education, and the security Nigerians are dying for lack of. The administration’s annual borrowing
rate has soared to nearly ₦50 trillion, that is, ten times that of its predecessors, fueled by a $21.45 billion external borrowing plan approved without a single substantive public hearing by the complicit, supine and captive @nassnigeria .

Against this backdrop, the Tinubu government added a £746 million ports deal whose terms remain hidden. This is not a grant, nor aid. It is a sovereign debt obligation. It is a commercial loan arranged by Citibank London, guaranteed by UK Export Finance, and structured to benefit British exporters.

At least £236 million is contractually reserved for British suppliers. British Steel alone secured a £70 million contract it described as one of the largest in its history. Nigeria borrowed the money that British companies will harvest the contracts and Nigerians will repay the debt. Yet neither interest rates nor repayment timelines have been officially published.

Civil society organizations, including SEREC, BudgIT and opposition parties have demanded disclosure. None has received a substantive response. The loan agreement remains unpublished by the Ministry of Finance, NPA, UKEF, or any other official body.

Three failures make this silence unacceptable.

First, currency risk: a sterling loan benchmarked to a floating dollar rate, repayable in a Naira that has lost over 70 percent of its value since 2023, with no disclosed hedging framework.

Second, procurement failure which is most vexing for me as one who led the public procurement reforms of this country: credible reporting identifies ITB Nigeria a company owned by Gilbert Chagoury who is publicly identified as a bosom friend of President Tinubu as the primary contractor without the Due Process of competitive tender, without publicly available evidence of the involvement of the Bureau for Public Procurement, and without any published evaluation criteria.

Third, policy failure: the government ignored the proven alternative of private capital. The Lekki Deep Sea Port was built for $1.5 billion under a private BOT concession with zero sovereign debt and now handles 1.2 million Twenty‑foot Equivalent Units - TEUs. In simple language, the Lekki Port for which Nigeria did not take on any loans attracted private financing and is today successfully handling 1.2 million single 20‑foot shipping container annually.

No analysis whatsoever has been offered by the Tinubu administration to justify why then Apapa and Tin Can, two of West Africa’s most commercially productive ports, could not follow the same model of private capital. These two ports do not need sovereign debt to be rehabilitated. What they need is a governance framework that attracts private capital on Nigeria's terms.

https://x.com/i/status/2089748977558114769

Gilbert Chargoury no go chop again?

It's too early to cancel insurance policy

Ignoramus will soon invade the thread to insult this erudite woman while they can't even understand a word of what she wrote
Her name alone triggers anger in their hearts

We Tinubu listen.

byinks:
It's too early to cancel insurance policy

Awwwn just look at what someone who is still arranging money to buy bole and beans is capping.

Nigerian youths are indeed foolish, this woman is hinting on something very very critical and you are saying rubbish .

You and your likes should continue,when the whole world start doing to Nigerians what south Africa is currently doing to Nigeria maybe then and only then will you people have sense to know you have only one country.
And at then you think people like oby will be affected abi ?

Kukutente23:
Ignoramus will soon invade the thread to insult this erudite woman while they can't even understand a word of what she wrote
Her name alone triggers anger in their hearts

You can clearly see one above you

So pathetic

Nairalanda1