The Federal Government has moved closer to securing a fresh $1.25bn loan from the World Bank as it intensifies efforts to back ongoing economic reforms, job creation, and improved competitiveness.
The facility, known as Nigeria Actions for Investment and Jobs Acceleration, has now reached an advanced stage in the approval process and is expected to be considered by the lender on June 26, 2026. The timing places it just months before the 2027 general elections, according to the Independent National Electoral Commission’s revised timetable.
If approved, the loan will become the second-largest World Bank financing package obtained under President Bola Tinubu’s administration, after the $1.5bn development policy loan approved in 2024.
Based on an exchange rate of N1,361.4 per dollar, the proposed facility is equivalent to about N1.70tn, highlighting the scale of external funding being pursued by the government amid its reform agenda.
A full disbursement would push Nigeria’s external debt from N74.43tn ($51.86bn) as of December 2025 to approximately N76.13tn ($53.11bn). Total public debt would also increase from N159.28tn to about N160.98tn, with dollar-denominated debt rising to roughly $112.22bn.
Documents from the World Bank show that the project has moved beyond early stages into the decision meeting phase, where management reviews the final appraisal report before deciding whether it proceeds to the Board of Executive Directors for final approval.
At this point in the process, key negotiations and policy commitments are already largely concluded between Nigeria and the World Bank team, with only final internal clearance remaining.
The World Bank noted that it has authorised the team to proceed with appraisal and negotiations, confirming that the project has passed major internal checks and is nearing final consideration.
Nigeria is listed as the borrower, with the Federal Ministry of Finance responsible for implementation. The programme is aimed at expanding access to finance, digital services, and electricity, while also strengthening competitiveness through reforms in taxation, trade, and agriculture.
