Enugu govt budgets N10bn for Phase 1 of 135.4km rail project , Car Assembly respectively

Enugu State Government has earmarked the sum of N10bn in the 2026 budget proposal as the state’s equity contribution to phase One of the 135.5km standard gauge rail it plans to build in the state.

It has also earmarked another N10bn for vehicle manufacturing programme.

This was made known during a press briefing by the Commissioner for Budget and Planning, Barr. Chris-Roberts Ozongwu at the Nigerian Union of Journalists (NUJ) Press Centre, Enugu, on Thursday.

Recall that Mbah had on December 2, laid a N1.62Trn 2026 budget, christened “Budget of Renewed Momentum” before the Enugu State House of Assembly.

From L to R-Commisdioner for budget and planning, Ozongwu, Senior Special Assistant to the Governor on External Relations, Uche Anichukwu abd NIJ chairman , Comrade Obinna ,Ogbuka

The budget figure, which is a South East record and a 66.5 per cent increase over the N971bn revised 2025 budget, comprises N1.3Trn Capital Expenditure, representing 80 per cent of the total budget and N321.2bn Recurrent Expenditure, representing 20 per cent of the budget.

Breaking it down to journalists, Ozongwu said the rail project was in keeping with Governor Mbah’s campaign promise to evolve a multimodal transport system incorporating rail, tram and inland water services to complement existing road transportation in the state.

The rail project is also designed to terminate at doorsteps of the neighbouring states for easy continuation to enhance connectivity, especially among the South East States.

In the same vein, the government also plans to add additional 14 aircraft to increase the fleet of the state-owned airline, Enugu Air, to 20 planes by the end of 2025.

He explained that Enugu Air, which launched in July 2025 with three aircraft, had been quite lucrative, noting that the government had concluded plans to add three planes to the airline’s current fleet to bring it to six before the end of the year.

Other planned key expenditures in the transport in the coming year include a N10bn equity contribution to the Akanu Ibiam International Airport concession in line with Governor Mbah’s vision to make Enugu a West African regional aviation and logistics hub.

Ozongwu added that the government had also earmarked another N10bn for vehicle manufacturing programme that would see the state procure and have assembled in Enugu a total of 2,100 taxis for the administration’s youth empowerment scheme and the Distress Response Squad, DRS, the state’s special police unit.

He said the government was confident that the 2026 budget would outperform the 2025 budget, adding that Mbah runs the state with a private sector mentality.

He added that the allocation of 51.1 per cent and 40.1 per cent of the total budget to the economic sector and social sector, respectively, underscored the administration’s commitment to private sector-driven economic growth and human development.

“Human life is one of improvements. We achieved about 85 per cent of our performance and it is almost likely that we will continue in that same trajectory to move this state to 90 per cent performance.

“We have the indices to do that. We have the personnel, the acumen and ready to raise the money to do that. Expect better performance next year.

“So, something is going on in this state. It is a feel-good factor. Come to Enugu and invest because your investment is going to be protected, your returns are going to be wonderful. Join us and be part of this success story,” he said.