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FEC Approves $125 Million IsDB Loan for Abia’s Infrastructure Development

Olusola Blessing by Olusola Blessing
August 23, 2025
in Business, News
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FEC Approves $125 Million IsDB Loan for Abia’s Infrastructure Development
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The Federal Executive Council has approved a $125 million financing facility from the Islamic Development Bank to support Abia State’s Integrated Infrastructure Development Project. The approval, granted at its meeting of Wednesday, August 13, 2025, is seen as a major breakthrough for a project that has been under preparation for several years, involving extensive consultations and procedural steps.

In a statement issued by the governor’s office, the administration noted that the financing facility forms a critical component of the overall co-financing arrangement designed to drive large-scale infrastructure renewal across the state. The project, described as ambitious, aims to address long-standing gaps in key sectors such as roads, water supply, energy, and other public utilities that are vital for economic growth.

The state government stressed that the support from the Islamic Development Bank will complement existing investments and partnerships while ensuring that planned projects are executed at a scale that can significantly impact both urban and rural communities. The Integrated Infrastructure Development Project is expected to stimulate business activity, attract private sector investment, and improve the living standards of residents.

For small businesses, the administration explained, improved infrastructure will reduce operational bottlenecks, enhance market access, and create an enabling environment for growth. Reliable power supply, better road connectivity, and stronger water and sanitation facilities are also expected to boost productivity, lower costs, and expand opportunities for job creation.

The Federal Executive Council’s approval marks one of the most decisive steps yet in Abia’s drive to secure international financing for development. It also underscores growing confidence from multilateral partners in the state’s capacity to implement projects that can transform its economy.

With the funding now cleared, attention will shift to the timely implementation of the project. The government emphasized its commitment to transparency, accountability, and efficient use of the resources to deliver results that directly benefit citizens and position Abia as a competitive hub within the region.

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