The Federal Government has completed the process for the reconstruction and rehabilitation of Ibadan-Ilorin Road.
The Ibadan-Ilorin Road alongside 25 major economic roads, in the six geopolitical zones of the country, will have a new phase courtesy of the N100bn sovereign sukuk.
Speaking about the sukuk, The Finance Minister stated that “the sukuk was over-subscribed, as over N105bn was realised, adding that N100bn was pulled out for the purpose of road construction”
She said, “This is the first sukuk in Nigeria and it is an important development in our financial market because it will deepen it. It was over-subscribed; we got N105.87bn and we are giving N100bn to the ministry of works. This money is going to be used for economic roads.”
The ministers of Power, Works and Housing, and Finance, Babatunde Fashola and Kemi Adeosun, as well as the Director-General, DMO, Patience Oniha, met with heads of about 10 construction companies in Abuja on Thursday, where Adeosun presented the N100bn cheque for the projects in order to ensure commencement of the construction of these roads in earnest.
The construction companies involved include Arab Contractor Nigeria Limited, CGC Nigeria, CCECC Nigeria Limited, Salini Nigeria Limited, Reynolds Construction Company Nigeria Limited and Setraco Nigeria Limited are some of the beneficiary contractors, Dantata and Sawoe Construction Company Nigeria Limited, Eksiogullari Nigeria Limited, Mothercat Limited and Gitto Constrizon Generali Limited.
The government outlined the number of roads to be rehabilitated in each of the zones to include five each in the North-Central and South-South; four each in the North-East, North-West and South-East; and three in the South-West.
The Federal Government however, opined that equal sum of money will be given to each zone. this will mean that N16.67bn will be allocated for the rehabilitation of each of selected roads.
The selected roads that have been identified include the famous Oyo-Ogbomosho road which will benefit from the N16.67bn for the South West. Others include the Obajana-Okene road in Kogi State; Aba-Port Harcourt road in Rivers State; Ajebandele-Sagamu road that goes through Ondo and Ogun states; and the Kaduna Eastern by-pass in Kaduna State.
Fashola said that the reconstruction of these roads are necessary as they hold very important significance to the economy of the country.
Addressing the contractors, The Minister of Power said “First of all, I think the problems that you identified earlier when we met were mainly two, finance and weather. And I promised you that we would solve the finance problem and nature would take care of the weather problem”.
“The Minister of Finance is here and you will hear from her, because already the finance problem has been solved.”