Benin: AIIB Approves $200 Million for Sustainable Urban Mobility Project in Greater Nokoué

The Asian Infrastructure Investment Bank (AIIB) has approved a $200 million financing package to support the Greater Nokoué Sustainable Urban Mobility Project (PMUD-GN), a flagship initiative aimed at improving transportation while reducing the environmental impact in one of Benin’s main economic hubs. The project also receives support from the International Development Association (IDA) of the World Bank.

Improving mobility and supporting economic growth

The PMUD-GN covers the municipalities of Abomey-Calavi, Cotonou, Sèmè-Kpodji, Porto-Novo, and Ouidah, home to nearly 2.6 million people, representing about 20% of the national population. The region accounts for over one-third of the country’s GDP and faces major challenges, including traffic congestion, road safety issues, and rising air pollution. With the population projected to reach 3 million by 2030, the need for sustainable, structured solutions is pressing.

The project aims to develop an efficient multimodal transport system, which includes:

  • Upgrading and expanding road infrastructure;

  • Introducing public bus transport;

  • Implementing intelligent traffic management solutions;

  • Developing lagoon transport infrastructure to complement land-based networks.

Inclusion of private operators and vehicle electrification

Special attention will be given to integrating informal transport operators, such as motorcycle taxi drivers (“Zémidjans” or “Kèkènon”) and minibuses known as “Tokpa Tokpa”. The plan includes gradual electrification of motorcycles and a professionalization program for drivers to improve safety, reliability, and service quality.

Sustainability at the heart of the project

The PMUD-GN places sustainability at the center of its priorities, in a context of deteriorating air quality. According to the World Bank, low-quality fuel imported informally from Nigeria contributes to pollution levels up to four times above WHO standards.

For Beninese authorities, the project represents a strategic response to growing mobility challenges, combining economic development, environmental impact reduction, and improved quality of life for residents of the Greater Nokoué region.