Benin City, June 25, 2025 — The Edo State Government has clarified that it is not directly borrowing N100 billion, but rather acting as a guarantor for a contractor financing scheme to fast-track critical infrastructure across the State.
In a statement issued on Wednesday by Fred Itua, Chief Press Secretary to Governor Monday Okpebholo, the government explained that although the Edo State House of Assembly granted approval for a N100 billion facility, the fund will not be accessed by the government itself.
Instead, selected contractors will secure the funds from First Bank Plc, with the State Government providing guarantees to back the loans. The financing, with a 40-month tenure, will be disbursed directly to the contractors according to project demands.
The State Government said this model was deliberately adopted to speed up infrastructural development without directly increasing public debt. It aims to ensure contractors have timely access to capital while the government commits to meeting its guarantee obligations to the bank.
Projects slated for execution under the funding include the construction of a flyover at Adesuwa Road; the Evbhukhu–Sapele Road with drainage in Oredo LGA; the Eguaolor–Iguomo–Uvbenisi–Oza Road with a spur to Ohe community in Uhunmwonde LGA; and the Okpagha–Amufi Road with spurs to AG Bonze Street, Daddy J Road, and Michael Agbedon Street in Uhunmwonde and Ikpoba Okha LGAs.
Other projects include internal road works in Ogbeghe and Old Sapele Road in Benin City; the Uhie Road off Sapele Road; road construction in Ugieda village, South Ibie in Etsako West LGA; and the single carriageway of the Ekpoma–Uromi–Ubiaja Road in Esan.
Describing the strategy as both innovative and fiscally responsible, the statement said Governor Okpebholo remains committed to delivering sustainable infrastructure that will enhance the quality of life for Edo residents.
