By Providence Ayanfeoluwa & Precious Enaike

To expand water transport network and develop a sustainable waterways transportation system, Lagos State Government has secured a €170 million financing agreement from the European Investment Bank, EIB Global

The idea is aimed at easing urban mobility challenges and expanding water transport across the state.

The agreement was announced on January 19, 2026, during a signing ceremony and site visit held at the headquarters of the Lagos State Waterways Authority (LASWA) in Lagos.

The project, known as the Omi Eko Project, is designed to establish a modern waterborne public transportation network through the construction of new ferry piers, passenger stations and jetties, as well as the acquisition of electric ferries and maintenance facilities.

The European Investment Bank, through its development arm, EIB Global, is the largest financier of the project with a €170 million long-term loan backed by a European Union guarantee under the Global Gateway Initiative. The project is co-financed by the French Development Agency (AFD), which is providing €130 million in sovereign loans, while the European Commission is contributing a €60 million investment grant.

When completed, the project will establish 15 structured ferry routes covering 140 kilometres and connect 25 upgraded and expanded ferry terminals across Lagos. It will also deploy 75 electric ferries, each capable of carrying up to 440 passengers.

Officials said the initiative would significantly reduce greenhouse gas emissions and water pollution while providing residents with a safer, more efficient and affordable means of transportation.

The project is expected to increase the share of water transportation in Lagos from less than one per cent currently to as much as eight per cent by 2032, in line with the Lagos State Transport Master Plan. It is also expected to improve accessibility for underserved waterfront communities and reduce travel time and transportation costs for commuters.

The Lagos State Commissioner for Transportation, Mr. Oluwaseun Osiyemi, described the EIB’s commitment to the Omi Eko Project as commendable, assuring that the state government would provide the necessary support for its successful implementation.

“The EIB’s commitment to the Omi Eko Project is highly commendable. Likewise, the Lagos State Government is fully committed to providing the enabling environment required for the success of this partnership. This includes strong political will, policy consistency, transparency, accountability and effective collaboration,” Osiyemi said.

He added that the state would work closely with the European Investment Bank to ensure that the project meets the highest global standards of delivery and sustainability.

Also speaking, the Special Adviser to the Lagos State Governor on Blue Economy, Mr. Oluwadamilola Emmanuel, described the signing of the partnership as a significant milestone in the state’s efforts to unlock the full potential of its Blue Economy.

“The partnership signing ceremony with the EIB marks a significant milestone in our journey to unlock the full potential of our Blue Economy, and of the Omi Eko Project in particular. We are confident that with the support and expertise of the European Investment Bank, the Omi Eko Project will stand as a landmark achievement, showcasing what is possible when visionary leadership meets strategic international partnership,” Emmanuel said.

On his part, Mr. Ambroise Fayolle, Vice-President of the European Investment Bank, said the institution was proud to support what he described as a flagship green transportation project for Lagos.

“We strongly support this flagship green project, which will develop a safer, more efficient and affordable public transport system in Lagos. It will improve the daily lives of Lagos’ large population while boosting sustainable growth and job opportunities,” Fayolle said.

He noted that the project demonstrates the EIB’s commitment to supporting the European Union’s Global Gateway strategy in West Africa through impactful infrastructure investments.

Similarly, the Ambassador of the European Union to Nigeria, Mr. Gautier Mignot, said the scale of support being provided by the European Union, the EIB and AFD reflects the strength of the partnership between Europe, Nigeria and Lagos State.

“The sizeable support of the European Union, EIB and AFD to this project, including €300 million in subsidised loans and €60 million in grants, shows the strength of our partnership with Nigeria and Lagos State and the positive impact this collaboration will have on the daily lives of millions of people,” Mignot said.

He added that the project would further advance the European Union’s Global Gateway strategy in West Africa by strengthening transport connectivity within Lagos and across the region.

The Omi Eko Project forms part of the strategic Abidjan-Lagos corridor supported by the European Union under the Global Gateway Initiative and aligns with Nigeria’s National Development Plan 2021–2025, which prioritises investment in critical infrastructure.

Overall, the project is backed by a Team Europe financing package valued at approximately €410 million, provided by the European Investment Bank, the French Development Agency and the European Union, making it one of the most significant investments in sustainable urban transportation in Lagos in recent years.