Nigeria Needs $10bn to Build Rail Network Connecting Major Cities — Experts

Nigeria may require at least $10 billion to develop an integrated railway network capable of connecting major parts of the country and supporting economic growth, transportation experts have said. The experts said the country’s existing railway system remains fragmented, limiting the ability of rail transportation to significantly reduce pressure on Nigeria’s roads and bring down transportation costs. Nigeria currently operates railway services on a number of routes, including Lagos-Ibadan, Itakpe-Warri and Abuja-Kaduna, while additional routes and projects have been under consideration. Transportation expert Pamela Oluwatoyin said an integrated system linking major commercial and economic centres would require substantial investment but could provide significant long-term benefits to the Nigerian economy. Among the routes identified as having potential are Ibadan-Abuja, Itakpe-Abuja and Maiduguri-Port Harcourt. According to the expert, the estimated $10 billion requirement is based on the scale of infrastructure needed to establish the proposed connections. She noted that an exact cost would depend on detailed engineering designs and project specifications. The proposed investment would cover the development of railway infrastructure needed to connect different parts of the country and improve the movement of passengers and goods. Experts have also pointed to the potential economic benefits of a more connected rail network, including easier movement of agricultural products, industrial goods and people between major economic centres. A functioning nationwide railway system could also provide an alternative to road transportation, particularly on long-distance routes where road travel is often affected by congestion, poor infrastructure and high fuel and operating costs. However, experts have stressed that financing alone would not guarantee the success of such an ambitious project. Strong governance, financial discipline, proper project management and a clear revenue framework would be necessary to ensure that investments are properly managed. There would also be significant recurring costs associated with maintaining railway infrastructure and operating train services. The proposal comes as Nigerians continue to face high transportation costs, with the cost of moving people and goods remaining an important component of household and business expenses. A modern and interconnected railway network could therefore play a role in improving national transportation and supporting economic activity, provided the required financing and implementation structures are secured.