The Federal Government has reached an advanced stage in securing a fresh $1.25bn loan from the World Bank, a facility valued at N1.70tn that is expected to drive job creation and investment initiatives ahead of the 2027 general elections.
The administration of President Bola Tinubu is preparing to secure another major loan from the World Bank, with the Nigerian government advancing plans for a fresh $1.25bn facility. Titled “Nigeria Actions for Investment and Jobs Acceleration,” the proposed facility has reached an advanced stage in the World Bank’s approval process and is expected to be presented to the institution’s board on June 26, 2026. If approved, it would become the second-largest World Bank loan obtained under the current administration, trailing only the $1.5bn facility secured in June 2024.
At the current exchange rate of N1,361.4 to the dollar, the proposed facility is valued at approximately N1.70tn. Documents from a World Bank Programme Information Document obtained on Monday indicate that the loan has moved beyond the concept and appraisal phases, signaling that discussions between Nigerian authorities and the lender have intensified. The planned borrowing aims to sustain ongoing economic reforms, stabilize the economy, and drive critical investment and job creation initiatives, though it comes amid growing concerns over the country’s rising debt profile.
The timing of the proposed approval is particularly significant as it is scheduled to occur just over six months before Nigeria’s next presidential election. According to the revised timetable released by the Independent National Electoral Commission (INEC), the election is set for January 16, 2027, making the June 2026 board date a critical milestone for the administration’s fiscal agenda. The facility highlights the scale of financing being pursued by the Federal Government as it continues to rely on external multilateral support to implement key fiscal and monetary reforms.
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