STATES from the South-West region of the country have explained the rationale behind their huge investments in the transportation sector of the economy, particularly the airports and seaport construction.
The investments by states like Oyo, Ogun, Ekiti and Ondo states are expected to further open up the economy of the region and position it as a major hub for the country in the next few years.
This is just as mixed reactions have trailed the move by the states, on the multi-billion naira investment with kudos and knocks from some stakeholders on the efforts of the governors of the region.
The Ogun State government has constructed and commissioned a cargo airport at Iperu-Remo, while the Ekiti government also recently spent almost N50bn on the construction of an Agro-Allied International Cargo airport in Ado-Ekiti, while the Oyo state government recently spent billions of naira on the Ibadan airport to upgrade it to international standard.
On its part, the Ondo government recently revalidated the Ondo Deep Sea Port operating licence and this has cleared the hurdle that has been facing the establishment of a port along the coastal region of the state.
The development, according to the state governments, is meant to make movement of people and goods in and out of their domains easier and ultimately expand the frontier of economic activities in the area.
Although, the Ladoke Akintola airport in Ibadan belongs to the Federal Government, the Oyo government in whose geographical location it is located, took it upon itself to expend the state’s fund to improve on the facilities in it to enable it meet requirements for certification as an international airport.
Ibadan Airport upgrade cheaper, faster path to international operations
Before its recent upgrade, the Ibadan Airport operated largely as a modest domestic facility with limited infrastructure and capacity, serving mainly private flights and occasional charter operations. While it played an important role in connecting Oyo State to other parts of the country, the airport lacked the scale, modern facilities and international certifications required to support scheduled commercial and international flights. Its potential as a major aviation hub remained largely untapped.
However, the Oyo State Government, through a strategic reconstruction plan, set out to transform the airport into a modern aviation gateway capable of driving economic growth, trade and global connectivity.
Hon. Bimbo Adekanbi, chairman of the Ladoke Akintola International Airport upgrade project committee, explained that the ongoing reconstruction and upgrade of the Ibadan Airport was deliberately designed as a brownfield project to save cost, fast-track operations and position Oyo State for rapid economic growth.
He said the state government opted to expand and upgrade the existing Ibadan Airport rather than build a completely new greenfield airport, noting that the decision was driven by financial prudence and operational efficiency.
According to him, constructing a brand-new airport would have required clearing fresh aviation airspace, building all facilities from scratch and undergoing lengthy international certifications, a process that would have cost significantly more.
“What we are doing is what we call bootstrapping, latching onto an existing airport. If we were to build a brand-new airport, we would probably have spent at least a quarter more of the money. Here, the aviation ecosystem already exists,” he said.
Adekanbi explained that airport already hosts key aviation agencies such as the Federal Airports Authority of Nigeria (FAAN), the Nigerian Airspace Management Agency (NAMA) and the Nigerian Civil Aviation Authority (NCAA), alongside immigration, customs and security services.
“This means from day one, once infrastructural works are completed, operations can commence immediately. Ticket counters, staffing and flight scheduling systems are already in place. You don’t have to recreate everything from scratch,” he added.
airports and seaports of South-West
He also noted that Ibadan already has an established aviation market, with residents familiar with flying in and out of the city, eliminating the need for aggressive marketing associated with new airports.
Beyond aviation, Adekanbi said the airport is strategically linked to the state’s broader transport and logistics network, including road infrastructure, rail lines and the proposed dry port, describing them as complementary intramodal systems.
“The airport is meant to support the rapid growth of Oyo State. For cities to evolve, they need strong infrastructure and global connectivity. Oyo State is now an agrarian economy, and the outside world needs to see that we are open for business,” he said.
He stressed that the upgraded airport would boost agricultural exports, enabling farmers to access international markets, earn foreign exchange and increase revenue.
Adekanbi further said the presence of an international-standard airport enhances the state’s attractiveness to global organisations, investors, academics and research institutions.
“When international organisations are researching where to locate in Nigeria, they look at places with vibrant economies and international airport facilities. Ibadan being on that map makes it competitive globally,” he said.
airports and seaports of South-West
We are renewing investors’ interest – Ekiti
In Ekiti, the state government has expended no fewer than N49.7 billion on the construction of the State Agro-Allied International Cargo airport in Ado-Ekiti, the state capital between 2019 and 2025.
The state governor, Biodun Oyebanji, who disclosed this during the inaugural commercial flight operation at the airport on December 10, 2025, said the administration of former governor, Dr Kayode Fayemi, committed N14 billion to the project between May 2019 and October 2022.
Upon assuming office in October 2022, Oyebanji said his government invested an additional N34 billion to complete critical outstanding works, leading to securing relevant approvals from the regulatory agencies for the commencement of flight operations in the airport.
Speaking with the Nigerian Tribune, the commissioner for Transportation, Kehinde Ajobiewe, justified the huge investment in the airport project, noting that the commencement of the commercial flight operations was aimed at driving investors into the state towards economic growth and development.
The commissioner declared that the move was already renewing investors’ interest and improving the socio-economic sector of the state.
“Activities have started to pick up immediately at the airport. Our people who are traveling have booked their flights. It has made journey easier for many people and investors are now having interest in investing in Ekiti. Business activities have started there and that is what we call social economic development in the area,” he said.
The commissioner also noted that the airport’s strategic location and state-of-the-art infrastructure have impressed international partners, including representatives from Emirates Airlines, who have expressed interest in adding new routes to the airport.
While highlighting passenger services and a soon-to-be-completed cargo terminal as two key impactful benefits arising from the commencement of commercial flight operations, he noted that it will further drive the state’s economic growth.
Also speaking on the importance of the facility to the state’s agricultural potential, the Commissioner for Agriculture, Ebenezer Boluwade, described the airport project as a game-changer that will significantly boost the state’s agricultural productivity, value chain development and access to international markets.
Speaking on the strategic importance of the airport to Ekiti’s vast agricultural potential, he added that the facility would reposition the state as a major agro-export hub in Nigeria.
Boluwade said Ekiti, widely known for its fertile land and favourable climate, produces large quantities of cash and food crops such as cocoa, rice, cassava, yam, maize, oil palm, plantain and fruits, but has for decades suffered losses due to poor logistics, storage challenges and limited access to export channels.
According to him, the completion and operation of the agro-allied cargo airport would address these long-standing challenges by providing farmers and agro-processors with direct, efficient and faster access to both local and international markets.
“The Ekiti Agro-Allied International Cargo Airport is not just an aviation project; it is an agricultural revolution. It is designed to support the export of farm produce, reduce post-harvest losses and guarantee better prices for our farmers,” Boluwade said
He explained that perishable agricultural products such as fresh vegetables, fruits, flowers and processed foods would now be transported swiftly to regional and global destinations, thereby preserving quality and increasing competitiveness.
Speaking with the Nigerian Tribune, an economic development specialist, Afolabi Adeyemi, said, “Investments in strategic infrastructure like cargo airports can be economically justified if they are part of a broader regional trade and export plan rather than standalone prestige projects.
“Cargo airports have the potential to reduce the cost of transporting agricultural produce and perishable goods, which can significantly expand market access for local farmers and agribusinesses.
“However, the real test of viability will depend on whether demand for cargo services can be sustained and whether there are efficient linkages with road and logistics networks to move goods to and from the airport.
“Without these supporting systems, even well-built airports like we have it in Ekiti now, can underperform and become costly to maintain. Nigeria already has a high number of airports relative to current air traffic demand, and only a few major hubs handle the majority of passenger and freight traffic nationally, especially Lagos and Abuja, maybe Port Harcourt.
On his part, a financial analyst, Jacob Ogundele, said the N49.7 billion investment by the government on the project is huge considering the financial strength of the state.
He added, “The N49.7 billion Ekiti cargo airport represents a significant capital outlay for a state with comparatively low internally generated revenue. From a public finance perspective, large infrastructure investments must demonstrate a clear return on public funds through increased economic activity, job creation, and revenue generation.
“Unfortunately, in Nigeria, many state airports have struggled to attract regular flights and sufficient cargo volumes to justify their costs with only a few exceptions proving viable in the long run. The aviation sector in Nigeria is concentrated around a handful of major airports, and air travel numbers have declined in recent years despite new infrastructure being added.
A trade and logistics expert, Musa Adebola, said the state airport, especially the cargo side, has the potential to unlock opportunities in the State’s agricultural opportunities for economic prosperity.
According to him, “From an export-oriented trade and logistics standpoint, the Ekiti Agro-Allied Airport could unlock new opportunities for regional agricultural markets if integrated into an efficient supply chain.
“Cargo airports can serve as catalysts for agro-processing zones, warehousing, and value-addition industries, boosting non-oil export revenues. This is particularly relevant for states aiming to capitalize on the growing global demand for fresh produce and perishables.
“That said, the viability of such an airport will hinge on complementary infrastructure, roads, storage facilities, cold chains and partnerships that attract airlines and freight operators.
airports and seaports of South-West
Ondo Deep Sea Port, a game-changer for Nigeria’s South-West trade
Ondo State is steadily moving towards realising its long-anticipated deep-sea port, following recent breakthroughs that have strengthened investor confidence and secured renewed federal backing.
Last week, the Federal Government revalidated the Ondo Deep Sea Port operating licence, clearing a regulatory hurdle that had slowed progress and signaling fresh momentum for the project. This development signals renewed momentum for a project widely regarded as a game-changer for the state’s economic future.
The seaport, long envisioned as a catalyst for economic transformation, traces its roots to the mid-2000s under former Governor Dr. Olusegun Agagu.
The initiative gained momentum under the administration of the late Governor Rotimi Akeredolu, which carried out feasibility studies, engaged international maritime consultants, and collaborated with federal agencies to position the project as a multipurpose port with an accompanying Free Trade Zone and industrial hub.
The incumbent governor, Lucky Aiyedatiwa also keyed into the project and his efforts culminated in the grant of an operating licence by the Federal Government, marking a major milestone in the port’s journey from concept to reality.
Aiyedatiwa, while receiving the revalidated licence for the port from the Minister of Marine and Blue Economy, Chief Adegboyega Oyetola, said that the Ondo Deep Sea Port will function as a major hub for international trade, serving not only Ondo State but the entire country and parts of West Africa.
He lamented over the delay in the take-off of the project and attributed it to the discovery of errors in the documents after it was originally approved by late President Muhammadu Buhari. Aiyedatiwa expressed the state government readiness to commence the project immediately.
He said the deep-sea port is designed to accommodate businesses across Nigeria and neighbouring West African countries, noting that it has a natural draught of about 18 metres.
Speaking on the development, the Chief Press Secretary to Governor Aiyedatiwa, Prince Ebenezer Adeniyan, said the deep seaport, located along Ondo’s Atlantic coastline in Ilaje axis, is designed to serve as a multipurpose maritime hub, supporting bulk cargo, container traffic and industrial activities.
According to him, beyond maritime trade, the project is expected to catalyse the development of ancillary infrastructure, including industrial parks, logistics corridors, refineries and export processing zones.
He disclosed that preparatory work, stakeholder engagements and public-private partnership arrangements are gradually aligning to move the project from planning to execution.
He said the port could significantly reposition Ondo as a strategic economic gateway in the South-West, driving revenue growth and accelerating regional development.
“When completed, the Ondo seaport projects are projected to open up the state to global commerce, reduce pressure on existing ports in Lagos and create thousands of direct and indirect jobs.
“With regulatory approvals now in place, attention is shifting to financing, construction timelines and implementation, as the state inches closer to turning a long-held vision into reality. The deep sea port’s design eliminates the need for trans-shipment, allowing vessels to sail directly from international routes into Ondo waters, “Adeniyan said.
A Professor of Development Economics and Entrepreneurship, Victor Lawal, described the Ondo Deep Sea Port as a game-changer for Nigeria’s blue economy, noting that sea’s natural depth gives it a competitive edge over many West African ports, positioning it to attract international shipping lines.
Lawal further pointed to the multiplier effect the project is expected to have on housing, education, healthcare, hospitality and small businesses within the host communities, noting that increased economic activities would drive rapid urban development and improve living standards across the area.
Analysing the implications for the state’s development, he said, “For Ondo State, the implications are profound. The seaport is expected to drive rapid infrastructure development, including roads, power supply, digital connectivity and, in the long term, rail links. Coastal communities, particularly in Ilaje axis, stand to benefit from urban renewal and expanded social amenities.
“Increased commercial activity is also expected to significantly boost the state’s revenue base, providing resources for governance, social services and grassroots development. Beyond economics, the project symbolises a strategic shift, turning Ondo’s coastline into a centre of opportunity rather than neglect.
He maintained that the deep seaport if fully realised, promises to redefine the state’s place in Nigeria’s economic map, from a largely agrarian economy to a critical player in global maritime trade, noting that, the “Ondo Deep Sea Port is not merely about ships and cargo, but about jobs, growth, industrialisation and a new future for the state.
Also speaking, a Regional Development and Environmental Resource Management expert, Professor Yekini Kolawole, said: “The Ondo Deep Sea Port is a regional asset for the entire South-West, not just Ondo state. Even at the pre-construction and policy alignment stage, the project has begun to influence economic planning, investment expectations and regional integration across the zone.
“In the short term, the most significant impact lies in strategic repositioning. South-West states such as Oyo, Osun, Ekiti, Ogun and Lagos stand to benefit from the emergence of a new maritime gateway that complements, rather than competes destructively with, existing ports
“For Lagos in particular, the Ondo port represents a pressure-relief valve. Chronic congestion at Apapa and Tin Can Island has long increased logistics costs for businesses across the South-West. The prospect of an alternative deep-water port closer to hinterland states has already influenced discussions around cargo redistribution, inland logistics hubs and road connectivity.
“With Ondo’s coastline providing direct access to international shipping routes, exporters from inland South-West states could reduce haulage distances, turnaround time and costs once port operations commence.”
Speaking on the medium-term regional economic effects, Kolawole said as construction and ancillary developments progress, the deep sea Port is projected to stimulate inter-state infrastructure development, saying improved road networks linking Ondo to Ekiti, Osun, Oyo and Ogun will not only support port traffic but also enhance trade and mobility within the region.
On the long-term impact and future outlook, he said the port has the potential to redefine the South-West’s role in West African trade. He asserted: “With its natural deep draft capable of accommodating large vessels, the port could evolve into a regional trans-shipment hub, serving not only Nigeria but parts of Benin, Togo and beyond.
“This development could strengthen the South-West as a manufacturing and export powerhouse, especially in agro-allied products, solid minerals, petrochemicals and finished goods. Over time, it is expected to support higher regional GDP, deeper industrialisation and stronger integration into global value chains
Gateway airport, catalyst for economic transformation
The Special Adviser to the Governor of Ogun State on Information and Strategy, Honourable Kayode Akinmade, said the Gateway International Airport Project is more than an aviation facility, but a catalyst for broad economic transformation.
He explained that the project is expected to generate significant employment both during construction and operations
Akinmade said the construction created thousands of jobs in various trades and professional services, while the project is expected to create 25,000 jobs directly and indirectly at full operation. These jobs circulate income locally and strengthen consumer demand, a key multiplier for local micro-economies.
Unlike many traditional airports, the Gateway was conceived primarily as an agro-cargo and logistics airport, with capacity to handle large aircraft and significant volumes of perishable produce.
According to Akinmade, the airport is expected to enhance the competitiveness of agro-allied industries, attracting cold chain logistics, processing, and packaging enterprises.
The governor’s aide said the airport business model is built to capture multiple income channels, boosting economic viability.
Of what benefits are the projects?
Speaking generally on the benefits of the projects, Professor Aremu Adeleke, of the Obafemi Awolowo University, Ile-Ife, Osun state, was of the opinion that inasmuch as the region wants to maintain its leading position both politically and economically, any project being embarked upon must have a direct impact on the affected states and the lives of the citizenry.
He asked, of what essence is an elephant project without direct bearing on the lives of the people that it is meant to serve?
Adeleke, who is an economic expert, submitted that before government undertakes any project, it must take into consideration some factors which include cost and benefits analysis.
He said, “Any project that will not add value to the lives of the people is not worth being undertaken. But when you look at the ongoing projects across the states in the region, especially in the transportation sector, if completed aside improving the Internally Generated Revenue of the affected states, they will serve as business links.
“However, when you look at from another perspective, some of it is politically motivated as it will not attract any economic gain. When a project like that is to be undertaken, there should be a well-defined project evaluation mechanism.
“In that sense, we have to look at the cost and benefits of that project which include the reason(s) for venturing into it and the expected returns. There is rigorous economic analysis in establishing the airport.
“Take, for instance, the one in Ekiti state, the essence is for the exportation of the agricultural produce, but where are the expected agricultural produce to be exported?”
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