By Oluyinka Onigbinde
The Federal Government has secured a landmark £746 million financing agreement with the United Kingdom to undertake a sweeping modernisation of Nigeria’s two busiest seaports, marking what officials describe as the most significant port upgrade in nearly 50 years.
Minister of Marine and Blue Economy, Adegboyega Oyetola, disclosed the development in a statement issued on Tuesday by his Special Adviser, Bolaji Akinola.
According to the statement, the financing backed by UK Export Finance will fund the comprehensive rehabilitation and upgrade of the Lagos Port Complex Apapa and the Tin Can Island Port Complex. The two facilities, both located in Lagos, currently handle over 70 per cent of the nation’s import and export traffic.
The agreement is expected to be formally signed during the state visit of Bola Ahmed Tinubu to London scheduled for March 18 and 19, 2026, underscoring deepening economic ties between Nigeria and the United Kingdom.
Describing the development as a turning point for Nigeria’s maritime sector, Oyetola said the initiative represents the first large-scale overhaul of the ports since their establishment decades ago. The Apapa Port, commissioned in 1913, remains the country’s oldest and busiest seaport, while Tin Can Island Port, inaugurated in 1977, was built to complement its operations.
“For decades, these ports have borne the weight of Nigeria’s international trade without corresponding infrastructure upgrades,” Oyetola stated. “What we are embarking upon is not just an upgrade, but a complete transformation aligned with global standards.”
The minister explained that the modernisation programme will introduce advanced cargo-handling equipment, expand port capacity, and deploy integrated digital systems aimed at eliminating longstanding operational inefficiencies.
He noted that automation and digitalisation will significantly reduce vessel turnaround time and cargo dwell time—two critical challenges that have historically hampered port efficiency in Nigeria. The reforms are also expected to minimise reliance on manual, paper-based processes, thereby improving transparency and operational reliability.
Oyetola emphasised that improved port efficiency would have far-reaching economic benefits, including faster cargo clearance, reduced demurrage costs for importers and exporters, and a more predictable logistics environment for businesses.
“Efficiency at the ports is directly linked to the health of the national economy,” he said. “These reforms will ease trade, lower the cost of doing business, and ultimately stimulate economic growth while boosting government revenue.”
Beyond domestic gains, the minister said the upgraded infrastructure would strengthen Nigeria’s position as a strategic maritime hub in West and Central Africa, attracting increased shipping traffic and enhancing the country’s competitiveness in global trade.
He further described the UK partnership as a reflection of shared commitment to sustainable maritime development and long-term economic cooperation.
“Our goal is to build a modern, competitive port system that reflects Nigeria’s economic aspirations,” Oyetola added. “This project will not only improve logistics efficiency but also deepen investor confidence and support the country’s long-term development objectives.”
The Federal Government views the initiative as a cornerstone of its broader marine and blue economy strategy, aimed at unlocking the vast economic potential of Nigeria’s maritime sector.
Industry stakeholders say the successful implementation of the project could mark a transformative shift in port operations, positioning Nigeria to better compete with leading maritime hubs across Africa and beyond.
