In 2025, the Federal Government of Nigeria is preparing to secure six new loans from the World Bank, totaling approximately $2.23 billion. This move is part of a broader strategy to support the country’s economic and structural reforms. The World Bank has been a key partner for Nigeria, helping to finance various projects aimed at improving infrastructure, healthcare, education, and overall economic resilience. The new loans will bring the total amount approved by the World Bank to about $9.25 billion over the past three years, highlighting Nigeria’s growing reliance on international funding to address its pressing needs.
Since President Bola Tinubu took office in 2023, there has been a noticeable increase in the financial support Nigeria has received from the World Bank. In 2023 alone, the World Bank approved loans worth $2.7 billion, focusing on critical areas such as renewable energy, women’s empowerment, and education. Among the significant projects funded that year was a $750 million initiative aimed at improving access to reliable electricity through renewable energy sources. This initiative is crucial for providing power to households and businesses, ultimately fostering economic growth.
Another important loan from 2023 was the $700 million allocated for the Adolescent Girls Initiative for Learning and Empowerment. This program is designed to enhance educational opportunities for girls in underserved areas, ensuring that they have access to quality secondary education. Additionally, a $500 million loan was approved to support women’s economic empowerment through the Nigeria for Women Programme, which aims to create groups that help unbanked women gain financial independence. These projects illustrate the World Bank’s commitment to supporting vulnerable populations in Nigeria.
The trend of increasing loan approvals continued into 2024, with the World Bank committing $4.32 billion to various projects. This surge in funding reflects Nigeria’s urgent need for financial assistance as it grapples with economic challenges, including rising public debt. One of the most significant loans approved in 2024 was the $1.5 billion allocated to strengthen Nigeria’s economic policy framework. This funding aims to create fiscal space and protect vulnerable populations from economic shocks, demonstrating a proactive approach to economic stabilization.
Other noteworthy approvals in 2024 included funding for agricultural projects and healthcare initiatives. For instance, the Rural Access and Agricultural Marketing Project received $500 million to improve access to rural areas and enhance climate resilience. Additionally, the Nigeria Primary Healthcare Provision Strengthening Programme was allocated $570 million to improve healthcare services, particularly for the most vulnerable populations. These investments are crucial in strengthening Nigeria’s healthcare system and ensuring that essential services are accessible to all citizens.
Looking ahead to 2025, the Nigerian government is eager to secure six new loans from the World Bank, with a focus on critical sectors such as digital infrastructure, healthcare, and education. One of the anticipated projects is the Building Resilient Digital Infrastructure for Growth initiative, which aims to expand broadband internet access in underserved regions of the country. This initiative aligns with the government’s vision to enhance digital connectivity and create more economic opportunities through improved internet access.
Another significant project in the pipeline is the Nigeria Health Security Programme, which aims to bolster the country’s capacity to respond to health emergencies. This funding is vital as Nigeria continues to face public health challenges, including disease outbreaks. Additionally, the Solutions for Internally Displaced and Host Communities Project is expected to improve access to basic services and economic opportunities for those affected by displacement, highlighting the government’s commitment to supporting vulnerable communities.
As the negotiation process for these loans progresses, various projects are at different stages of approval. Some initiatives, such as the HOPE for Quality Basic Education for All project, are moving closer to final approval, which is expected to take place between March and September 2025. This project aims to enhance educational outcomes and increase access to basic education across participating states, reflecting the government’s focus on improving the quality of education in Nigeria.
While the increasing trend of World Bank loan approvals indicates confidence in Nigeria’s reform agenda, it also raises concerns about the country’s growing debt levels. The Nigerian government is aware of the need to balance external borrowing with sustainable economic growth. Officials have expressed a commitment to reducing reliance on foreign debt while fostering a business-friendly environment to attract long-term investments. This approach aims to ensure that Nigeria can achieve economic independence while still benefiting from international support for critical development projects.
