Lagos Secures €170m EIB Funding For Electric Ferry Transport Project

Lagos State has secured a €170 million financing partnership with EIB Global, the development arm of the European Investment Bank (EIB), to accelerate the development of a sustainable and efficient water transport system across the state.

The agreement, announced at a signing ceremony and site visit held at the Lagos State Waterways Authority (LASWA) headquarters, brings together senior representatives of the European Union and international partners, including EIB Vice-President Ambroise Fayolle, EU Ambassador to Nigeria and ECOWAS, Gautier Mignot, and the French Consul General in Lagos, Laurent Favier.

The financing marks the first collaboration between LASWA and the EIB and forms part of the broader Omi Eko Project, a flagship initiative aimed at transforming Lagos’ waterways into a modern, low-carbon public transport network.

The EIB loan is supported by an EU guarantee under the Global Gateway Initiative, with additional co-financing from the Agence Française de Développement (AFD) and the European Commission, bringing total project support to about €410 million.

Under the project, Lagos will develop a comprehensive waterborne transport system featuring new ferry piers, electric vessels, upgraded jetties, and modern maintenance facilities. The plan also includes the deployment of fully electric ferries designed to reduce greenhouse gas emissions and improve water quality across the city’s lagoon network.

In total, the initiative will establish 15 structured ferry routes spanning 140 kilometres, connect 25 upgraded terminals, and introduce 75 state-of-the-art electric vessels capable of carrying up to 440 passengers each. The system is expected to significantly expand the role of water transport in Lagos, increasing its modal share from less than 1 percent currently to as much as 8 percent by 2032, in line with the state’s transport master plan.

Lagos State Commissioner for Transportation, Mr. Oluwaseun Osiyemi, described the partnership as a major milestone, noting that the government is committed to ensuring effective implementation through strong policy support, transparency, and collaboration with international partners.

“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. We are prepared to work closely with the European Investment Bank to ensure that Omi Eko meets the highest global standards of project delivery and sustainability.”

He said the project reflects Lagos’ readiness to deliver global-standard infrastructure that will improve mobility, reduce congestion, and promote sustainable urban development.

Also speaking, Special Adviser to the Governor on Blue Economy, Mr. Oluwadamilola Emmanuel, said the initiative represents a turning point in unlocking the state’s blue economy potential, adding that the Omi Eko Project would serve as a model of what can be achieved through strategic international cooperation.

Commenting on the significance of the partnership, Mr. Oluwadamilola Emmanuel, Special Adviser to the Lagos State Governor on Blue Economy, said:

“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.”

EIB Vice-President Ambroise Fayolle said the investment would help deliver a safer, more efficient, and affordable transport system while improving livelihoods and supporting green growth in Lagos.

“We strongly support this flagship green project, which will develop a more safe, efficient and affordable public transport in Lagos. It will improve the daily lives of Lagos’ large population while boosting sustainable growth and job opportunities. It is a concrete demonstration of the EIB’s commitment with his partners to the EU’s Global Gateway strategy in West Africa,” Fayolle stated.

EU Ambassador to Nigeria, Gautier Mignot, highlighted the significance of the partnership, noting that the project demonstrates the strength of EU-Nigeria cooperation and the impact of the Global Gateway strategy in improving connectivity and urban mobility.

“The OMI EKO project is a strong demonstration and the sizeable support of the European Union, EIB and AFD are bringing to this project, 300 MEUR in subidized loans and 60 MEUR in grants, shows the strength of our partnership with Nigeria and Lagos State and the positive impact of this collaboration on impact on the daily lives of millions of people. It is also a demonstration of our Team Europe’s commitment to roll out EU’s Global Gateway strategy in West Africa, with the aim of strengthening global connectivity across the world. I look forward to navigate, in a not too distant future, on electric ferries throughout the wonderful Lagos lagoon and to further expand transport connectivity in Lagos, in Nigeria but also in the ECOWAS region and beyond. Let’s shape the future together,” he stated.

Once fully implemented, the project is expected to reduce travel times, improve access for waterfront communities, and contribute significantly to Lagos’ climate and sustainability goals, positioning the city as a leading example of green urban transport in Africa.