From Victor Osula, Abuja
The Federal Government is in talks with the World Bank over a fresh $1.25 billion loan facility aimed at boosting access to finance, digital services, electricity, and supporting reforms in tax administration, trade, and agriculture.
The proposed facility, titled Nigeria Actions for Investment and Jobs Acceleration, is classified as a Development Policy Financing operation, with the Federal Ministry of Finance serving as the implementing agency.
According to a World Bank Programme Information Document obtained by Nairametrics, the loan is scheduled for approval on June 26, 2026, after the Bank authorised the project team to proceed with appraisal and negotiations.
The World Bank said the programme is designed to help Nigeria transition from macroeconomic stabilisation to inclusive economic growth and job creation.
The lender noted that recent reforms introduced by the Federal Government had helped restore economic stability and improve investor confidence.
“The proposed Development Policy Financing supports reforms initiated by the Government aimed at pivoting from stabilisation to inclusive growth and job creation,” the document stated.
Under the first pillar of the programme, reforms will focus on expanding access to finance, digital infrastructure, and electricity.
This includes implementing the Investment and Securities Act 2025, operationalising credit enhancement facilities, adopting the National Digital Economy and E-Governance Bill, and promoting private investment in interconnected mini-grids.
The second pillar targets competitiveness through trade, tax, and agricultural reforms, including reducing trade barriers, improving seed supply systems, introducing VAT e-invoicing, and enforcing a minimum effective corporate tax rate.
Despite acknowledging progress since 2023, including petrol subsidy removal and exchange rate reforms, the World Bank warned that poverty and weak infrastructure remain major challenges.
If approved, the loan would raise World Bank approvals under President Bola Tinubu’s administration to about $10.6 billion.
