Nigeria Pushes for $1.25 Billion World Bank Support to Boost Jobs and Investment
The Federal Government is intensifying discussions with the World Bank over a proposed $1.25 billion financing package expected to support economic reforms, expand investment opportunities and stimulate job creation across key sectors of the economy.
The proposed funding arrangement is currently undergoing advanced review processes ahead of a scheduled decision meeting expected later in June 2026.
According to officials familiar with the negotiations, the facility is designed to strengthen critical areas of Nigeria’s economy, including infrastructure development, access to electricity, digital connectivity, agricultural productivity and private sector competitiveness.
The programme is also expected to improve access to financing for small and medium-sized enterprises while supporting broader economic stabilisation efforts introduced by the administration of Bola Ahmed Tinubu.
Economic analysts said the proposed financing reflects the government’s continued effort to attract multilateral support as authorities attempt to manage fiscal pressures, implement reforms and sustain economic growth.
The latest negotiations come at a time when Nigeria is facing increasing scrutiny over its rising public debt profile and growing debt servicing obligations.
Recent fiscal data showed that Nigeria’s external debt has continued to rise amid sustained borrowing from international lenders and development institutions to finance infrastructure and reform programmes.
Government officials, however, maintain that the current borrowing strategy is focused on productive investments capable of improving economic output, expanding employment and strengthening long-term revenue generation.
The proposed World Bank-backed programme is expected to prioritise reforms aimed at improving the business environment, strengthening tax competitiveness and increasing investor confidence in Nigeria’s economy.
Part of the funding may also support initiatives targeted at improving trade efficiency and reducing structural bottlenecks limiting private sector growth.
The negotiations are taking place shortly after Nigerian authorities expressed concerns over delays often associated with multilateral loan approval and disbursement processes.
Senior government officials recently warned that excessively long approval timelines could undermine the effectiveness of planned interventions, especially where urgent economic priorities are involved.
Financial experts said the outcome of the ongoing discussions will be closely monitored by investors and development stakeholders given Nigeria’s growing financing needs and current macroeconomic challenges.
If approved, the facility would add to several financing arrangements secured by Nigeria from the World Bank in recent years to support reforms in energy, infrastructure, healthcare, agriculture and social development.
The Federal Government continues to defend its engagement with international lenders, arguing that external financing remains necessary to bridge infrastructure gaps, support reforms and improve economic productivity while domestic revenue mobilisation efforts are strengthened.
