Rand Merchant Bank has supported Nigeria’s Federal Ministry of Finance in securing a $1.8 billion financing package for the development of the 374-kilometre Kano–Maradi railway project, a major cross-border infrastructure initiative designed to strengthen trade links between Nigeria and Niger Republic. The bank served as Global Coordinator and Initial Mandated Lead Arranger for the transaction, which will fund the construction and commissioning of the strategic rail corridor.
The financing arrangement brings together multiple funding sources, including development finance institutions and domestic currency investors, structured to support the execution of one of West Africa’s most significant transport infrastructure projects aimed at improving regional logistics and economic integration.
Brandspur Banking News Desk gathered that the transaction was structured over several years through collaboration between RMB, the Ministry of Finance, and other financial partners, reflecting the complexity of assembling blended financing for sovereign infrastructure development in the region.
The Kano–Maradi rail line is expected to improve transport efficiency between Nigeria and Niger, enhance access to landlocked markets, and stimulate cross-border trade flows across key economic corridors. The project is also positioned as part of broader regional efforts to diversify transport options and strengthen economic connectivity within West Africa.
RMB noted that the financing process involved coordinated work across its syndications, structured solutions and infrastructure finance teams, alongside participation from the Africa Finance Corporation and other stakeholders, to ensure successful mobilisation of capital required for the project’s execution.
According to the bank, the deal required extensive due diligence and multi-institutional coordination due to its scale and cross-border nature, with the financing structure designed under an engineering, procurement and construction plus financing (EPC+F) model to support delivery by the appointed contractors.
The railway project is also aligned with broader sustainability and development objectives, including efforts to improve regional trade efficiency and contribute to long-term environmental targets through enhanced transport infrastructure and reduced reliance on road freight across the corridor.
