The House of Representatives has resolved to investigate the N1.1 trillion Sukuk-funded road projects between 2017 and 2024.
This decision was made during a plenary session on Wednesday, following the adoption of a motion of urgent public importance sponsored by Gaza Gbefwi, a lawmaker from Nasarawa State.
The investigation will focus on uncovering any “instances of diversion, inflation, or contractor non-compliance” in the execution of the road projects.
Presenting the motion, Gbefwi cited a report from the Debt Management Office (DMO), which revealed that over N1.1 trillion was raised through six sovereign Sukuk issuances to finance 124 federal road projects spanning 5,820 kilometers across the six geopolitical zones.
Gbefwi provided a breakdown of the Sukuk financing as follows: N100 billion in 2017, N100 billion in 2018, N162.557 billion in 2020, N250 billion in 2021, N130 billion in 2022, and N350 billion in 2023. He also noted that an additional N150 billion was issued in October 2023, bringing the total Sukuk issuance to approximately N1.242 trillion by the end of 2024.
“Despite this significant investment, Nigeria’s road infrastructure remains in a deplorable state, with over 70 percent of the country’s 200,000-kilometer road network still unpaved, as noted by S&P Global Ratings in January 2024,” Gbefwi stated. “Without robust accountability mechanisms, the Sukuk programme risks becoming a conduit for mismanagement or corruption.”
The motion was adopted following a voice vote by Deputy Speaker Benjamin Kalu, who presided over the plenary.
As a result, the House has mandated the Committee on Works to conduct a “forensic probe” into the allocation, expenditure, and outcomes of the N1.242 trillion Sukuk fund. The Parliament also directed the Federal Ministry of Works to provide detailed records of all Sukuk-funded projects, including financial disbursements, project statuses, and updated contractor performance.
