The World Bank has approved $1.25 billion in development financing to help Nigeria spur economic growth and create jobs.
Unveiled under its Nigeria Actions for Investment and Jobs Acceleration programme, the approval was announced on Wednesday alongside the launch of a new Country Partnership Framework for Nigeria, spanning 2026 to 2032.
The global lender, in a statement, noted that the newly endorsed strategy aims to guide its support over the next six years, primarily focusing on creating higher-quality jobs.
The Bretton Woods-based bank said the $1.25 billion Development Policy Financing operation is expected to back reforms aimed at improving Nigeria’s business environment and strengthening long-term economic growth.
According to the statement, the planned reforms include expanding capital markets, updating regulations for the digital economy and e-governance, accelerating electricity sector reforms, reducing trade barriers in line with Nigeria’s commitments under the Economic Community of West African States (ECOWAS) and the African Continental Free Trade Area (AfCFTA), improving access to quality agricultural seeds and increasing domestic revenue generation.
The loan comes amid increased criticism over the rate of borrowing under the Bola Tinubu-led administration, which has seen the country’s debt profile now almost at N160 trillion, as per the latest data from the Debt Management Office (DMO).
The Bank stressed that the new framework is built on Nigeria’s recent macroeconomic reforms, which it noted have successfully driven economic growth, bolstered external reserves, and improved investor confidence.
“The World Bank Group has endorsed a new Country Partnership Framework for Nigeria spanning 2026–2032, setting out a strategy to create more and better jobs at scale by unlocking private sector-led growth,” the bank stated in the statement.
World Bank Country Director for Nigeria, Mr Mathew Verghis, while highlighting the need to convert financial benchmarks into human development, emphasised the core mission of the project.
“Our new Country Partnership Framework provides the strategy for how the World Bank Group will support Nigeria over the coming years, with a strong focus on helping to create more and better jobs, particularly by enabling private sector-led growth.
“The recent macroeconomic gains have been critical to help stabilise the economy. Translating improved macroeconomic conditions into better living standards will require addressing the structural constraints to spur private sector investment and job creation,” Mr Verghis said.