•Gilbert Chagoury and Tinubu
Indications have emerged that ITB Nigeria, a construction firm owned by a Lebanese-Nigerian businessman and President Bola Ahmed Tinubu’s longtime associate, Gilbert Chagoury, will execute the renovation contract of Lagos Tin Can and Apapa Ports.
Tinubu had, in January, conferred the Grand Commander of the Order of the Niger (GCON), Nigeria’s second highest honour, on Chagoury “because of his contributions to the country.”
Last week, Nigeria and the United Kingdom during a meeting between Prime Minister Keir Starmer and President Tinubu at Downing Street in London, sealed a £746 million export finance deal to support the refurbishment of the two major ports in Lagos, reports Daily Trust.
Checks showed that Chagoury, whose conglomerate operates through the Chagoury Group, was part of the delegation to London where the financing agreement for the Lagos ports refurbishment project was sealed during President Tinubu’s two-day state visit to the UK.
Under the agreement, the UK Export Finance (UKEF) will guarantee loans for the upgrade of the Apapa and Tin Can Island port complexes.
A report by Africa Intelligence in March 2025 had revealed that the Federal Executive Council’s meeting in February 2025 selected Chagoury Group and its subsidiary, ITB Nigeria, for the contract.
The Minister of Marine and Blue Economy, Gboyega Oyetola, had also confirmed on October 22, 2025 that the federal government approved a sum of $1 billion (N1.4 trillion) for the modernisation of the Apapa and TinCan Island seaports in Lagos.
The minister spoke in Lagos at the 2025 Chartered Institute of Logistics and Transport (CILT) Nigeria Conference, with the theme ‘Enhancing Logistics and Transport for a Sustainable Blue Economy in Nigeria.’
Chagoury’s key projects in Nigeria
Chagoury co‑founded the Chagoury Group in Lagos in 1971, building it into a sprawling conglomerate with interests in construction, real estate, hospitality, manufacturing, infrastructure, among others.
Through the Chagoury Group, Gilbert Chagoury has built one of the most influential business empires in Nigeria, with interests spanning construction, manufacturing, real estate, and energy.
The Chagoury Group is handling the N15 trillion 700-kilometer 10-lane Lagos-Calabar Coastal Road project designed to connect Lagos to Cross River State, passing through Ogun, Ondo, Delta, Bayelsa, Rivers and Akwa-Ibom states.
The section one, phase one of the project, handled by Chagoury’s Hitech, has been concluded.
Among its most prominent undertakings is the Eko Atlantic City project, a sprawling urban development built on reclaimed land along the Atlantic coastline.
The initiative has been widely described as a response to coastal erosion and urban expansion pressures in Lagos.
Chagoury Group’s role in delivering Eko Atlantic has earned it recognition as a key player in Nigeria’s infrastructure transformation, though the project has also attracted criticism over environmental and socio-economic concerns.
Key assets constructed by Chagoury included major property developments like Banana Island and ongoing large‑scale projects such as the Eko Atlantic City urban development through South Energyx Nigeria Limited, among others.
Lagos-focused ports upgrade deepens regional imbalance – Experts
The federal government’s plan to channel the United Kingdom-backed loan into the development of Lagos ports has triggered widespread criticisms, with stakeholders accusing the authorities of deepening infrastructural imbalance by prioritising already functional facilities over neglected ones in other parts of the country.
Maritime operators and regional advocates argue that the move underscores a persistent policy tilt towards Lagos, despite repeated calls for the revitalisation of ports in the eastern and Niger Delta corridors, many of which remain underutilised due to years of neglect.
Industry players say the decision to invest fresh loan funds in Lagos, where port activities are already thriving, raises concerns about fairness and strategic planning.
According to them, ports such as Onne, Warri, Calabar and Ibom, and lately Baro Port in northern part of Nigeria, have suffered from poor infrastructure, low draught levels, security concerns and limited connectivity to major economic centres.
The Sea Empowerment and Research Centre (SEREC), in a statement titled ‘Re-balancing Nigeria’s Maritime Future: Integrating Port Decentralisation into National Reform Agenda Amid Lagos-Centric Investments’, signed by its Head of Research, Dr Eugene Nweke, said while the centre acknowledged the economic importance of ongoing upgrades in Lagos ports, it was concerned about “the continued structural neglect of other national port assets” which, according to him, poses long-term risks to trade efficiency, foreign exchange stability and inclusive economic growth.
The centre said it had critically reviewed the government’s recent port infrastructure financing arrangement supported by UK Export Finance, alongside the broader trajectory of Nigeria’s maritime development strategy.
It stated: “Nigeria’s maritime system remains heavily concentrated in Lagos, which currently accounts for the majority of cargo throughput.
“However, this concentration has resulted in persistent congestion and logistics inefficiencies, increased cost of imports and exports, overstretching of port and road infrastructure.
“At the same time, strategic ports in: Port Harcourt, Warri, Calabar and Onne, without mincing words, remain significantly underutilised due to policy neglect, inadequate infrastructure linkages and inconsistent investment priorities.”
The centre said the current port imbalance is not merely a logistics issue, but a macroeconomic concern with direct foreign exchange (FX) implications.
It further stated that overdependence on Lagos ports would ultimately drive up import handling costs and also encourages congestion-induced inefficiencies.
“It will effect port inefficiency and geographic concentration contribute indirectly to pressure on the Naira and Nigeria’s external reserves.
“The federal government’s investment in Lagos port infrastructure — though necessary — reflects a short-term efficiency-driven approach that is inconsistent with broader national objectives of trade facilitation, export diversification and regional economic inclusion,” the statement added.
A maritime expert and former Director of Operations at the Nigerian Maritime Administration and Safety Agency (NIMASA), Captain Warredi Enisuoh, said the government should redesign the available space at the different ports for ports automation, warehouse automation so that “Ñigeria could rake in more money instead of the economy stuck in traffic and ships waiting at anchorage which is the order of the day.”
He said the Nigeria-UK deal “should have been geared towards decentralization and automation which will bring down operational cost of shipping.”
A businessman, Okey Okonkwo, expressed concerns that the government should have considered upgrading ports in other parts of the country as well.
He said: “This deal is a clear example of the federal government’s lack of commitment to developing the Niger-Delta region. We have ports in Warri, Port Harcourt, and Calabar that are in dire need of upgrade, but the government is only focusing on Lagos.”
Lucky Amiwero, a shipping expert and maritime industry activist, also queried the rationale behind signing the loan deal for ports infrastructure upgrade.
Amiwero, who is also the president of the National Council of Managing Directors of Licensed Customs Agents and CEO of Eyis Resources Limited, noted that revenue from the port is more than enough to carry out any upgrade.
He queried what happened to the money realised from terminal operators when the nation’s seaports were concessioned in 2006.
He advised the government to utilise revenue collected from port operations for any future upgrade.
“Having stated all these, the next question is what happens to other ports? Why is government neglecting ports in other regions. Why not make viable them if they are not. It will improve efficiency and eliminate congestion that has bedeviled all the ports in Lagos.
“The government’s focus on Lagos ports is short-sighted and neglects the economic potential of other ports. We need to develop our ports in a way that promotes economic growth and development across all regions, not just Lagos,” he said.
Ohanaeze Youth Council alleges marginalisation of South East
The Ohanaeze Youth Council, in a statement yesterday by its president, Igboayaka Igboayaka, alleged that the Nigerian government’s £747million port rehabilitation agreement with the UK was a further indication of the “marginalisation” of the South-East.
The council warned that the continued neglect of seaport infrastructure in Igbo-dominated areas could deepen separatist sentiments.
It alleged that the focus on Lagos ports ignored what it described as historically viable maritime locations in the South-East, including Ose-Akwa/Ose-Moto in Ihiala and Oguta, Azumini Blue Sea in Abia State, and Ozziza Beach in Ebonyi State.
“Neglected seaports in Igboland, specifically Ose-Akwa Ose-Moto Sea at Ihiala/Oguta, Obeaku Ndoki Sea, Azumini Blue Sea Ukwa-East Abia State, and Ozziza Beach Afikpo Ebonyi State, demonstrate the empirical evidence of the long-standing injustice and marginalisation faced by Ndigbo, which has led to the call for Biafra Restoration under the leadership of Mazi Nnamdi Kanu of the Indigenous People of Biafra (IPOB).
“Regrettably, the British Government agreed to refurbish two ports in Lagos, specifically Apapa and Tin Can Island standing at 60 nautical miles to Atlantic Ocean, also undermined the dredging of Ose-Akwa Ihiala Anambra Sea and Ose-Moto Oguta Sea in Imo State in 1958, a site boasting a natural harbour depth of 22m and a mere 18 nautical miles from the Atlantic Ocean,” the council said.
It demanded the immediate dredging of the proposed Ose-Akwa/Ose-Moto seaport channel, estimated at 18 nautical miles to the Atlantic, as well as similar projects in Abia State.
Nigeria taking loans to fund British economy – ADC
The African Democratic Congress (ADC) has described the Lagos ports upgrade deal with the UK as a “mugu” deal, saying it disproportionately favoured the UK and its economy while leaving Nigeria with a massive debt.
The national publicity secretary of the ADC, Bolaji Abdullahi, said while the All Progressives Congress, APC had tried to pass off the deal as President Tinubu’s achievement, it is in fact an achievement of the “UK Government, which, through this deal, has managed to save its steel industry, protect thousands of UK jobs, and get Nigeria to pay for it.”
The party called on the federal government to provide full transparency by disclosing comprehensive details of the agreement, including the applicable interest rates, repayment terms and any local content provisions or obligations associated with the deal.
It stated: “Based on information available on the UK Government website, which described the deal as a major vote of confidence in UK manufacturing, the £746 million agreement will be delivered through UK Export Finance’s (UKEF) Buyer Credit Facility and arranged by Citibank, N.A., London Branch.
“UKEF is the UK government’s export credit agency. Its buyer credit facility enables foreign buyers to access financing from commercial banks to procure UK goods and services, typically for projects that require significant UK content participation.
“In simple terms, UKEF guarantees a loan obtained by a foreign buyer from a commercial bank, which is then used to pay for UK goods and services, with the bank paying the UK exporter directly on behalf of the buyer.
“Under this agreement, at least £236 million of the £746 million in supplier contracts will be awarded to British companies, while British Steel will supply 120,000 tonnes of steel billets under a £70 million contract, representing its largest UKEF-backed export order, for port rehabilitation projects.
“The ADC is particularly concerned that the Nigerian government has entered into an agreement that leaves the country at a clear disadvantage, seemingly in exchange for a few hours of pomp and pageantry, and as part of a broader attempt to secure foreign validation, even as millions of Nigerians continue to face poverty, unemployment, and worsening insecurity.
“There are still several unanswered questions regarding this agreement. These include: what are the repayment terms of the commercial loan, including its duration and applicable interest rate? What percentage of local goods, services, and subcontracting is involved in the port rehabilitation project? How many direct and indirect jobs will be created for Nigerians? What is the project timeline, and when will the ports become fully operational? What provisions exist for training, apprenticeships, and skills transfer? Finally, what are the limits on expatriate staff, and are there defined quotas for SMEs and community benefit obligations?”
FG defends deal
Dr Bolaji Akinola, Special Adviser to the Minister of Marine and Blue Economy, had in a statement on Tuesday, explained that the decision to secure £746 million in financing for the modernisation of Nigeria’s seaports is a strategic investment aimed at accelerating critical infrastructure upgrades that cannot be achieved quickly enough through internally generated port revenues alone.
According to him, the port facility upgrade includes dredging of port channels to allow for big vessels, noting that the dredging is not limited to Lagos ports only.
He said the common user facilities, which are the sole responsibility of government, through the Nigeria Ports Authority, are captured in the facility upgrade.
“By securing long-term financing, the federal government is able to undertake a comprehensive and simultaneous overhaul of key port infrastructure, rather than implementing upgrades in small phases. This approach ensures that the ports are modernised within a much shorter time frame, enabling Nigeria to quickly enhance efficiency, competitiveness, and capacity in maritime trade.
“The modernisation programme will deliver numerous benefits. It will improve the structural integrity and capacity of port infrastructure such as quay walls, berths, and channels, enabling them to accommodate larger and more modern vessels. It will also enhance cargo handling efficiency, reduce vessel turnaround time, and improve overall logistics performance within the ports.
“The arrangement between the federal government and terminal operators is a concession agreement rather than a lease. Under the port concession model adopted by the federal government, terminal operators are granted the right to manage and operate specific cargo terminals within the ports. Their responsibilities are primarily focused on cargo handling operations, terminal management, and the provision of modern cargo handling equipment within the areas that have been concessioned to them.
“However, the responsibility for core port infrastructure and common user facilities remains with the federal government. This includes the dredging of port channels to ensure safe navigation, the maintenance and rehabilitation of quay aprons and berths, the upkeep of internal port roads, and the provision and maintenance of other shared infrastructure that supports overall port operations.
“The financing being secured by the federal government is therefore directed at addressing these critical infrastructure components that fall outside the scope of the terminal operators’ obligations. By investing in these areas, the government ensures that the entire port ecosystem functions efficiently, complementing the operations of the concessioned terminals and supporting the overall performance of the ports.
“It is important to clarify that while discussions regarding financing began a couple of years ago, the agreement itself was not concluded or signed at that time. What occurred then was the initiation of the financing process, including negotiations and the structuring of the proposed facility.”
