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…Set to receive additional $632m
Daniel Adaji, Abuja
The World Bank has approved a $500m loan facility for Nigeria to support the country’s Community Action for Resilience and Economic Stimulus Programme, targeted at addressing economic challenges and providing financial relief to vulnerable populations.
According to information released by the bank on Sunday, the loan approval, finalized on March 28, 2025, will facilitate expanded access to livelihood support, food security initiatives, and grants for struggling households and small businesses.
The programme, officially named the Nigeria Community Action for Resilience and Economic Stimulus Programme, is designed to cushion the effects of economic downturns by strengthening community resilience and providing targeted assistance to those most affected by financial hardships.
A key focus of the initiative is improving food security and creating economic opportunities for communities hardest hit by inflation and the rising cost of living.
Beyond this latest approval, Nigeria is set to receive two additional loans amounting to $632m by March 31, 2025.
One of the loans, valued at $80m, will be directed toward improving nutrition outcomes, while the other, estimated at $552m, is earmarked for enhancing basic education quality across the country. Both loans are in the final negotiation stages and are expected to be approved in the coming days.
These financial commitments align with the World Bank’s broader strategy to support Nigeria’s development priorities, including critical sectors such as healthcare, education, and economic resilience.
Since the beginning of President Bola Tinubu’s administration, Nigeria has secured 11 different loan agreements with the World Bank, amounting to approximately $7.45bn.
However, concerns have been raised over the pace of fund disbursement and project implementation. As of July 31, 2024, only $774.99m—about 16 per cent of the previously approved $4.95bn—had been disbursed, raising questions about the effective utilization of borrowed funds.
According to data from the Debt Management Office, the World Bank remains Nigeria’s largest external creditor, with the country’s total debt to the institution standing at $17.32bn.
The bulk of this—$16.84bn—comes from the International Development Association, which accounts for 39.14 per cent of Nigeria’s total external debt, while the International Bank for Reconstruction and Development is owed $485.08m, representing 1.13 per cent.