World Bank Approves Additional $1.57 Billion Loan for Nigeria to Tackle Education, Healthcare, and Climate Resilience
The World Bank has approved an additional loan of $1.57 billion for Nigeria to support critical sectors including education, healthcare, and infrastructure. The Washington-based financial institution made the announcement on Monday, revealing that the loan was approved on September 26, 2024.
According to the World Bank, this new financing will aid Nigeria in addressing governance challenges in its educational and healthcare systems, improve primary healthcare services, and enhance the country’s resilience to climate change through bolstered dam safety and irrigation infrastructure.
The funding package, comprising a $1.5 billion loan and a $70 million grant, forms part of the World Bank’s broader commitment to strengthening Nigeria’s human capital and fortifying its defences against the effects of climate change. It is expected to have a transformative impact on key sectors, fostering poverty alleviation and productivity growth.
This follows a previous $2.25 billion loan approved by the World Bank in June 2023 to support President Bola Ahmed Tinubu’s economic reforms. However, the increasing debt load, which stood at ₦121.67 trillion as of March 2024, has raised concerns among financial experts. Many have expressed worry over Nigeria’s rising debt profile amidst an ongoing infrastructural deficit.
The loan approval comes as the Nigerian government continues to face pressure to balance its debt servicing obligations with the urgent need for development across the country’s key sectors.
