By George Omagbemi Sylvester
The Federal Government is seeking a fresh $1.25 billion loan from the World Bank to support economic reforms, job creation, digital expansion, electricity access, and agricultural development under President Bola Tinubu’s administration.
The move became public on May 12, 2026, after reports showed that negotiations between Nigeria and the World Bank had reached an advanced stage ahead of possible approval by the lender’s Board of Executive Directors.
The proposed facility, titled Nigeria Actions for Investment and Jobs Acceleration, is expected to support reforms in finance, trade, agriculture, taxation, and power supply.
According to World Bank documents, the programme is designed to help Nigeria transition from economic stabilisation to inclusive growth and increased private-sector investment.
If approved, the loan would become one of the largest World Bank facilities secured under the Tinubu administration.
However, the development has renewed concerns over Nigeria’s rising debt profile. Data from the Debt Management Office showed that Nigeria’s external debt stood above $51 billion by the end of 2025, with World Bank obligations accounting for a significant share.
Economic analysts have warned that continued borrowing without strong revenue generation and prudent spending could deepen fiscal pressure on the country despite the reform objectives attached to the proposed loan.
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