HomeNationGovernmentTINUBU'S ₦3.9 TRILLION ROAD PLAN: TURNING ECONOMIC REFORMS AND FUEL SUBSIDY REMOVAL...

TINUBU’S ₦3.9 TRILLION ROAD PLAN: TURNING ECONOMIC REFORMS AND FUEL SUBSIDY REMOVAL INTO A NATIONAL INFRASTRUCTURE REVOLUTION

For months, one question has echoed across Nigeria’s political and economic landscape:
Where are the proceeds of fuel subsidy removal, increased government revenues and infrastructure borrowings being invested?”
“Whether one supports or opposes the administration’s economic reforms, this question has united many Nigerians.

Since the removal of fuel subsidy in May 2023, many Nigerians have endured rising transport costs, inflation and a higher cost of living. While the Federal Government has repeatedly defended the reforms as painful but necessary, many citizens have demanded visible evidence that the sacrifices are translating into tangible national development.

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This week, the Tinubu administration provided one of its most comprehensive answers yet.

The Federal Executive Council (FEC) approved 27 strategic road projects valued at more than ₦3.9 trillion, cutting across 15 states and virtually every region of the federation. Although these projects are financed through different funding mechanisms—including budgetary allocations, tax credit arrangements and other infrastructure financing models—the approvals reflect the administration’s broader policy of redirecting public resources towards long-term capital investment after major economic reforms.

Federal Ministry of Works

For decades, Nigeria’s fuel subsidy regime remained one of Africa’s most expensive fiscal policies. Supporters argued that it protected consumers from high fuel prices, while critics maintained that it consumed trillions of naira annually, encouraged inefficiency and created opportunities for fraud and rent-seeking within parts of the downstream petroleum sector. Similar concerns surrounded distortions in the foreign exchange market, where multiple exchange rates encouraged arbitrage and speculative activities that weakened the economy.

President Bola Ahmed Tinubu chose a different path. His administration removed fuel subsidy, liberalised the foreign exchange market, embarked on tax reforms, expanded social intervention programmes and increased capital spending, arguing that sustainable economic growth requires investing in productive assets rather than financing consumption.

Around the world, similar reforms have produced mixed short-term reactions but significant long-term gains when accompanied by disciplined infrastructure investment. Indonesia gradually redirected billions of dollars previously spent on fuel subsidies into roads, ports, healthcare and education. India reduced fuel subsidies while accelerating investments in highways and logistics corridors to support industrial growth. Egypt implemented subsidy reforms alongside massive investments in roads, bridges and public infrastructure to strengthen economic competitiveness. While each country’s circumstances differ, the common lesson is clear: difficult reforms are more likely to gain public acceptance when citizens can see where the savings are being invested.

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Nigeria appears determined to follow a comparable path.

Road infrastructure remains one of the strongest foundations of economic development. Efficient highways reduce transportation costs, connect farmers to markets, lower post-harvest losses, stimulate manufacturing, attract private investment, promote tourism and strengthen national integration. For a country seeking to diversify its economy beyond oil, strategic investment in transport infrastructure is not merely desirable—it is indispensable.

It is against this background that the Federal Executive Council approved one of the most ambitious nationwide road investment programmes in recent years, with projects deliberately spread across Adamawa, Benue, Cross River, Ebonyi, Ekiti, Kogi, Kwara, Lagos, Niger, Ondo, Osun, Oyo, Plateau, Taraba and Yobe States.

More importantly, the geographical distribution reflects an attempt to bridge infrastructure gaps across all parts of the federation rather than concentrating development in any single region. In a country where equitable federal spending is often scrutinised through regional and political lenses, the nationwide spread of the approvals is itself a significant aspect of the programme.

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Announcing the approvals, the Minister of Works, Senator David Umahi, unveiled the following projects:

₦1.8 trillion for the re-award of the 409-kilometre dual carriageway project in Niger State under the tax credit scheme to Aliko Dangote.

₦276 billion for the dualisation of the Ilorin-Ogbomoso Road.

₦265 billion for the reconstruction of the Iseyin-Eruwa-Agbesi Road in Oyo and Kwara States.

₦217 billion for the dualisation of the old alignment from Ijaye through FGC to Ilorin Road with a spur to Akinmorin.

₦116 billion for the 21-kilometre Abakaliki-Afikpo Road in Ebonyi State.

₦110 billion for the Ogbomoso-Oko-Illupu Road linking Oyo and Osun States.

₦104 billion for the rehabilitation of Sections One and Two of the Ilorin-Omorin-Ebe-Kabba-Obajana Road linking Kwara and Kogi States.

₦98 billion for the construction of the 30-kilometre Idi-Araba-Ayede-Olodo Road in Oyo State.

₦92 billion for the rehabilitation of the Baban-Lamba-Sharan Phase Two Road in Plateau State.

₦86 billion for the reconstruction of the Enugu-Abakaliki Road with a flyover.

₦86 billion for the Adikpo-Ajayi-Tese-Akpa-Otukpo Road linking Benue and Cross River States.

₦83 billion for the Jimeta-Mayo Belwa Road project in Adamawa State.

₦82 billion for the rehabilitation of the Igbeti Road in Oyo State.

₦74 billion for the construction of the Igbeti-Soro-Kishi Road in Oyo State.

₦71 billion for the construction of the 52-kilometre Dabban-Makina Road in Niger State.

₦62.99 billion for the Tungo-Karamti Road with five bridges between Adamawa and Taraba States.

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₦58 billion for the rehabilitation of the Yola-Hong-Mubi Road Phase Two.

₦46 billion for the Amasiri-Okporojo Road.

₦34 billion for the 18-kilometre Ikere-Ekiti-Ijare Road linking Ekiti and Ondo States.

₦26 billion for the construction of a new flyover on the ongoing Trans-Sahara Road.

₦24.7 billion for the rehabilitation of the Kabba-Ifaki-Ado Ekiti Road linking Kogi and Ekiti States.

₦21 billion for the construction of the Oko-Olowo Junction Flyover in Kwara State.

₦15.7 billion for the construction of Pacific Road linking Igbe Laara to Ikorodu in Lagos State.

₦15.5 billion for the construction of the 13-kilometre Badeku-Jaiye Road in Oyo State.

₦15.246 billion for Phase Two of the Yola-Fufore-Gurin Road project in Adamawa State, covering an additional 20 kilometres after completion of the first phase.

₦15 billion for the augmentation of the 32.2-kilometre road project in Gashua, Yobe State, originally awarded in 2022.

Approval of the full business case for the operation and maintenance concession of the Lagos-Ibadan Expressway, alongside the directive to commence reconstruction of failed sections of the Ibadan axis using concrete pavement.

Beyond the fresh approvals, Umahi disclosed that the first 118-kilometre section of the Abuja-Kaduna-Kano Expressway, valued at ₦137 billion, has already been completed, while work on the remaining 164 kilometres is expected to be concluded in November, further underscoring the administration’s emphasis on accelerating critical transport infrastructure.

The approvals represent more than road construction contracts. They constitute a strategic investment in Nigeria’s productive capacity. Roads remain the backbone of domestic commerce, carrying the overwhelming majority of passengers, agricultural produce and manufactured goods across the country. Every completed highway reduces travel time, lowers transport costs, expands market access, encourages investment and improves national competitiveness.

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For farmers, improved roads mean faster access to markets and lower post-harvest losses. For manufacturers, they reduce logistics costs and strengthen supply chains. For mining communities, better connectivity facilitates the movement of solid minerals to processing centres and export terminals. For small businesses, they open new markets and stimulate local economic activity. In practical terms, infrastructure creates jobs during construction and generates even greater employment opportunities through the economic activities that follow.

The decision to spread the projects across 15 states also carries important national significance. In a country where federal infrastructure spending is often scrutinised through regional and political lenses, the approvals reflect an effort to address development gaps across multiple geopolitical zones. While no single round of approvals can satisfy every infrastructure need in a nation of over 220 million people, the geographical balance is likely to feature prominently in discussions about equity and national development.

Nevertheless, announcements alone do not build roads.

The real measure of success will lie in transparent procurement, strict quality control, timely funding, effective supervision and completion within approved timelines. Nigerians will rightly expect every kilometre approved to be constructed to specification and maintained to international standards. Durable infrastructure requires not only political commitment but also accountability at every stage of implementation.

Equally important is long-term maintenance. For decades, Nigeria has devoted considerable attention to constructing new roads while underinvesting in preserving existing ones. The approval of the business case for the Lagos-Ibadan Expressway concession signals a growing recognition that maintaining strategic infrastructure is just as important as building it. Sustainable infrastructure policy demands both expansion and preservation.

Ultimately, the debate over fuel subsidy removal and broader economic reforms will not be settled by speeches or policy documents. It will be settled by measurable outcomes—better roads, lower logistics costs, increased investment, stronger agricultural productivity, improved regional connectivity and a better quality of life for ordinary Nigerians.

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History will judge this ambitious programme not by the trillions approved in Abuja, but by the kilometres completed, the quality of construction, the transparency of execution and the opportunities created for millions of Nigerians.

If faithfully implemented, Tinubu’s ₦3.9 trillion road programme has the potential to become more than an infrastructure initiative. It could mark a defining chapter in Nigeria’s long journey towards translating difficult economic reforms into lasting national development.

The National Patriots welcomes the Federal Government’s nationwide road infrastructure programme as a positive demonstration of capital investment following major economic reforms. We urge transparent procurement, timely execution, quality construction and proper maintenance to ensure Nigerians enjoy lasting benefits. Ultimately, the true measure of these reforms will be visible infrastructure, economic growth, job creation and improved quality of life.

Princess G. Adebajo-Fraser. MFR
President, The National Patriots.
Special Adviser to Former President Goodluck Jonathan.

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