World Bank to release $17 billion to Nigeria for poverty reduction programmes in Nigeria

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The Federal Government of Nigeria and the World Bank have solidified a new partnership aimed at tackling poverty and improving the living conditions of vulnerable Nigerians. With a fresh injection of $17 billion committed to a range of social investment programmes, the initiative marks one of the largest coordinated efforts to address poverty in the country’s recent history.

This major development was announced during a meeting in Abuja between the World Bank’s Regional Vice President for Western and Central Africa, Ousmane Diagana, and Nigeria’s Minister of Humanitarian Affairs and Poverty Reduction, Prof. Yilwatda Nentawe, alongside the Minister of State, Dr. Yusuf Sununu.

Diagana emphasized the scale and intention behind the funding. “This partnership is anchored in a strategy that supports Nigeria’s progress as a developing country, particularly through quality service delivery and job creation,” he said. “We currently have over $17 billion in committed programmes designed to support critical investments and reforms.”

The initiative will primarily focus on poverty reduction programmes and includes key interventions such as the Federal Government’s Conditional Cash Transfer scheme. According to Minister Nentawe, the programme will be underpinned by digital technology to ensure transparency and traceability.

“All beneficiaries will be assigned a digital identity, which allows for both social and financial inclusion,” Nentawe stated. “This not only ensures accountability but also integrates previously excluded citizens into the national financial system.”

While the move has been praised in policy circles, it has not been without political pushback. Former Senate Chief Whip, Senator Mohammed Ndume, recently criticized the Federal Government’s reliance on World Bank loans, suggesting reckless borrowing and a lack of oversight.

However, the Independent Media and Policy Initiative (IMPI), a policy think-tank, has pushed back hard on Ndume’s comments, calling them a “deliberate misrepresentation of facts.”

In a policy brief signed by its Chairman, Dr. Omoniyi Akinsiju, IMPI provided a detailed rebuttal. “Our analysis shows that World Bank loans accounted for nearly 80 percent of Nigeria’s multilateral debt in 2024, rising modestly from $21.15 billion in 2023 to $22.32 billion—a 5.5 percent increase. That’s far from the $9.5 billion figure cited by Senator Ndume,” the statement read.

Furthermore, the group pointed out a significant drop in Nigeria’s International Monetary Fund (IMF) obligations, which fell from $2.47 billion to $800.23 million, a decrease of nearly 68 percent. According to IMPI, this supports the argument that the Tinubu administration is being cautious with debt accumulation and is strategically securing funds for targeted developmental needs.

Addressing concerns about legislative oversight, IMPI clarified that all World Bank-funded projects undergo rigorous approval processes. “Each loan must pass through the internal arms of the World Bank—either IDA or IBRD—and receive concurrence from the National Assembly before disbursement,” the brief stated. “In 2024, six projects amounting to $4.25 billion were approved, but disbursements over the last 22 months only totaled $2.36 billion—not the inflated figure Ndume suggested.”

The group concluded by urging public figures to ensure factual accuracy in their criticisms, especially when dealing with complex economic matters.

“This is not the time for political grandstanding,” said Akinsiju. “Leaders must engage with the facts and support efforts that are ultimately designed to uplift millions of Nigerians out of poverty.”

As the partnership between Nigeria and the World Bank takes shape, attention now turns to implementation—ensuring that the funds translate into tangible outcomes for the country’s poorest and most vulnerable citizens.