The Lagos State Government and the European Investment Bank (EIB) have signed a €170 million financing agreement to develop a modern inland waterways transport system under the Omi Èkó project, aimed at easing congestion and improving mobility across the state.
The project is expected to significantly transform urban transport in Lagos by reducing pressure on road networks and increasing water transport usage from less than 1 percent to about 8 percent by 2032, in line with the state’s transport master plan.
The agreement was signed in Lagos on Friday during a ceremony and site visit at the Lagos State Waterways Authority (LASWA) headquarters, attended by senior Nigerian and European officials.
Under the arrangement, EIB Global, the development arm of the European Investment Bank, is the lead financier of the project, providing €170 million in funding support.
The project also benefits from additional European financing, with the French Development Agency (AFD) providing a €130 million sovereign loan and the European Commission contributing a €60 million investment grant.
The funding will support the development of a modern water transport network across Lagos, including the construction of ferry piers, passenger terminals, jetties, and maintenance facilities, as well as the deployment of fully electric passenger ferries.
In practical terms, the project will establish 15 ferry routes covering about 140 kilometres, connect 25 upgraded terminals, and introduce 75 electric vessels, each with capacity for up to 440 passengers.
Lagos State Commissioner for Transportation, Oluwaseun Osiyemi, said the agreement marks a major step toward sustainable transport development, adding that the state government remains committed to providing the necessary support for successful implementation.
He added that Lagos is confident the partnership will deliver a landmark project that reflects what is possible when strong political will is matched with international cooperation.
The Special Adviser to the Governor on Blue Economy, Oluwadamilola Emmanuel, said the initiative represents a major milestone in unlocking the potential of Lagos’ waterways and strengthening both the transport system and the state’s economic base.
EIB Vice President, Ambroise Fayolle, said the investment would deliver safer, cleaner, and more affordable transport options while supporting job creation and sustainable growth.
The European Union Ambassador to Nigeria, Gautier Mignot, said the project demonstrates strong cooperation between European partners and Nigeria, adding that it will improve the daily lives of millions of Lagos residents.