The Federal Government has currently stepped up talks with the World Bank for a fresh $1.25 billion loan, according to a document obtained by Channels Television.
The proposed loan will support ongoing economic reforms, job creation, and competitiveness, according to the document titled “Nigeria Actions for Investment and Jobs Acceleration.”
The document also adds that negotiations are now at a critical stage, and officials plan to submit the loan for approval on June 26, 2026. It adds that the process has moved beyond the concept and appraisal stages.
If approved, the loan will become the second-largest facility, after the Bank’s June 2024 approval of the $1.5 billion Reforms for Economic Stabilisation to Enable Transformation Development Policy Financing.
The Federal Ministry of Finance will implement the project, while the Federal Republic of Nigeria is listed as the borrower.
As of December 31, 2025, Nigeria’s total public debt stood at $110.97 billion, with external debt at $51.86 billion.
The loan is now at the World Bank’s decision-meeting stage, where the lender’s management reviews the completed assessment package and decides whether to submit the project to the Board of Executive Directors for approval.
This stage serves as the Bank’s near-final internal clearance before the project moves on to official Board review and final approval.
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Meanwhile, this comes amid senate approval of a $516 million syndicated loan requested by President Tinubu to fund the construction of Section 1, Phases 1A and 1B of the Sokoto–Badagry Super Highway.
Additionally, just last month, the World Bank has approved a fresh $500 million credit from the International Development Association (IDA).
This funding is strictly tied to a newly designed intervention called the Nigeria Sustainable Agricultural Value-Chains for Growth Project, or simply the AGROW program.
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