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Reading: FG Proposes N102.3 Billion Counterpart Funding for Lagos Green Line Rail in 2026 Budget
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FG Proposes N102.3 Billion Counterpart Funding for Lagos Green Line Rail in 2026 Budget

Ogungbayi Feyisola Faesol
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Ogungbayi Feyisola Faesol
ByOgungbayi Feyisola Faesol
Faesol is a journalist at Okay.ng, reporting on business, technology, and current events with clear, engaging, and timely coverage.
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Published: 2026/01/11
3 Min Read
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The Federal Government has earmarked N102.3 billion as counterpart funding for Phase One of the Lagos Green Line Metro Rail project in the proposed 2026 Appropriation Bill, underscoring continued commitment to expanding urban rail infrastructure in Nigeria’s commercial capital.

Okay News reports that the allocation appears under the Ministry of Transportation in the 2026 budget document, which totals N58.47 trillion, and will be transferred to the Ministry of Finance Incorporated (MOFI) for structured financing and equity participation.

The Green Line is a planned 68-kilometre rail network running from the Lekki Free Zone to Marina, designed to connect key areas including Victoria Island, Lekki, Ajah, Sangotedo, and the Lekki Free Trade Zone.

The project features 17 modern stations with elevated and at-grade sections, pedestrian bridges, elevators, escalators, and a depot near Sangotedo.

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Trains will operate in eight-car B-type sets at speeds up to 100 km/h, with a minimum headway of three minutes and a projected capacity of 35,000 passengers per hour per direction.

Phase One covers the Lekki First Tollgate to Epe stretch, while Phase Two will extend from Marina and include an on-water segment.

The Ministry of Works received N3.49 trillion in the 2026 proposal, with N3.44 trillion allocated for capital expenditure, largely focused on ongoing road and rail projects nationwide.

Other major rail allocations include N29.04 billion for ongoing and planned railway modernisation, covering completion of the Abuja–Kaduna line, additional works on the Lagos–Ibadan corridor, and rehabilitation of the Itakpe–Ajaokuta rail line.

Funding also supports construction of 12 station buildings, track-laying at ancillary facilities in Agbor, signalling and telecommunications systems on the Itakpe–Ajaokuta–Warri line, and acoustic sensing security surveillance on the Abuja–Kaduna corridor.

The budget further provides for feasibility studies on new standard-gauge lines and engagement of transaction advisers for the concession of the Abuja–Baro–Itakpe, Aladja–Warri Port, and Kano–Maradi rail projects.

The Lagos Green Line, estimated at $3 billion, was initially scheduled to begin construction in December 2025 following extensive feasibility studies and stakeholder consultations along the Lekki-Epe corridor.

As of January 11, 2026, work has not yet commenced, though preparatory efforts continue.

Experts have noted concerns about station spacing and operational capacity, suggesting that sparse coverage in Victoria Island and wide gaps along Lekki could limit ridership.

Recommendations include adding stations in high-traffic areas and integrating operations with existing lines to enhance accessibility and efficiency.

The federal counterpart funding was N146.14 billion in the 2025 budget proposal and now stands at N102.3 billion in 2026, reflecting sustained support while implementation plans are finalised.

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TAGGED:2026 Budget AllocationFederal Counterpart FundingLagos Green Line Rail
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