Nigeria: Sukuk Bonds Utilised in Construction of Major Highways in North-East Nigeria

10 February 2019

The federal government says part of the N100 billion proceeds from the sovereign Sukuk bonds will be used to complete the ongoing dualisation of five sections of Kano- Maiduguri highways.

The Director of Highways, North-East, Federal Ministry of Power, Works and Housing, Mohammad Rufai, made the disclosure on Sunday in Jakana, Borno state, while inspecting the road projects.

The News Agency of Nigeria (NAN), reports that section two of the project, with a 142 Kilo Meter (KM) length covers Dutse-Kwanar Huguma in Jigawa State.

Section three, which is 106.341km, is located between Azare-Potiskum axis in Yobe State.

Similarly, the section four projects are situated along Damaturu-Maiduguri with 145.109km, while the section five corridors are located between Potiskum-Damaturu with 102.075km length.

The projects differently executed by Messers CCECC Nigeria Ltd, Mothercat Ltd, Setraco Nigeria Ltd, and CGC Nigeria Ltd are in significant stages of completion.

Mr Rufai, who inspected the road projects in the company of federal controllers of works in the states, said he was satisfied with the performance of the contractors handling the projects.

According to him, the contractors have been executing the projects based on schedule of the contract terms.

"The quality of work on the road is okay and the progress is on schedule, some of the contractors have even gone ahead of the scheduled programme.

"So, we are willing to engage them again, if the opportunity comes up.'

The director attributed the success of the projects to the improved security situation in the region and the provision of Sukuk funding by the federal government.

"Sukuk funding has actually helped a lot because the contractors were able to push the work to this extent because of Sukuk fund.

" The second Sukuk fund will be used to complete the road projects.

"Government is doing what it ought to do. Recently, Sukuk released N100 billion for the second phase and modalities are being worked out to deploy the funds."

At the section five site of the project, Ibrahim Barde, the village Head of Alaraba in Portiskum emirate council, told NAN that the community was grateful to the federal government for dualising the roads.

According to him, the dualisation has so far increased the economic fortune of the community through job creation and establishment of new business.

"We are grateful to the federal government for this project, we are the beneficiary of this road, in fact, my domain has 38km of Potiskum-Damaturu road.

"We are happy for the development, we thank the federal government."

He said the Emir of Portiskum, Umaru Bubaran, was happy for the project, noting that they have been working harmoniously with the contractors handling the project.

Ayuba Haruna, one of the engineers also told NAN that it was cherry that a significant number of workers on the site were indigenous engineers.

"We have more than 20 local engineers working on the site and the project Chief Engineer is a local engineer.

"The Chinese engineers do the supervision. We are the people doing the fieldwork. The project has created many direct and indirect jobs for the people," Mr Haruna said.


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