Nigeria’s borrowings from the World Bank between 2023 and 2025 are expected to reach $9.65bn by the end of this year, amid growing approvals and disbursements across critical sectors.
This figure accounts for loans from the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA) only.
Including grants, total World Bank support rises to approximately $9.77bn during the three year period.
The IBRD provides loans on commercial or near-commercial terms to middle income and creditworthy low income countries, while the IDA offers highly concessional loans and grants to the world’s poorest nations.
The data show a steady increase in commitments, with government initiatives covering digital infrastructure, social protection, power, education, and health programmes.
The federal government is expected to secure an additional $500m facility on December 19, 2025, under the fostering inclusive finance for Micro, Small, and Medium Enterprises (MSMEs) in Nigeria project.
The loan will be implemented through the Development Bank of Nigeria.
Under president Bola Tinubu’s administration, borrowing began with $2.7bn in 2023 across four major projects, including power sector recovery, renewable energy, girls’ education, and women’s economic empowerment.
Notable allocations included $750m IDA financing for the Nigeria distributed access through Renewable Energy Scale-up project, $700m for girls’ secondary education, and $500m for women’s economic empowerment programmes.
The AF Power sector recovery operation received $449m in IBRD financing and $301m in IDA.
Loan volumes rose sharply in 2024 to $4.25bn, a 57.4% increase from 2023, driven by policy based operations and investment packages across rural roads, primary healthcare, and dam safety programmes.
Grants contributed $70.01m, bringing total World Bank support for 2024 to $4.32bn.
For 2025, loans totaling $2.695bn and grants of $52.18m have been earmarked for projects in financial inclusion, digital broadband, health, education, social protection, and institutional capacity.
Key allocations include $500m IDA each for broadband expansion, basic education, and livelihood support, $630m for health, nutrition, and support to internally displaced persons, and $500m (IBRD and IDA combined) for MSME financing.
Across the three years, IDA loans account for about $7.3bn, IBRD loans roughly $2.35bn, and grants $122.19m.
As of June 30, 2025, Nigeria’s external debt stood at $46.98bn, with the World Bank accounting for $19.39bn 41.3% of the total.
The minister of budget and economic Planning, Abubakar Bagudu, praised the World Bank for supporting Nigeria’s Renewed Hope Ward Development Programme (RHWDP), noting the partnership has been transformative in advancing the country’s development objectives.
The World Bank reiterated its commitment to Nigeria, with country director Matthew Verghis commending the country’s bold reform decisions and affirming continued support for their successful implementation.
Comments