Nigeria has intensified discussions with the World Bank over a proposed $1.25bn loan aimed at supporting economic reforms, improving competitiveness, and creating jobs across the country. Reports indicate that the facility, known as the Nigeria Actions for Investment and Jobs Acceleration programme, has reached an advanced stage in the World Bank’s approval process.
According to available documents, the loan is scheduled for consideration on June 26, 2026, just months before Nigeria’s next presidential election. If approved, the facility will become the second-largest World Bank loan secured under President Bola Tinubu, following the $1.5bn reform financing approved in 2024.
At the current exchange rate, the proposed loan is valued at approximately N1.70tn. Consequently, Nigeria’s external debt could increase significantly if the funds are fully disbursed. Analysts estimate that the country’s external debt may rise from N74.43tn to over N76tn, while total public debt could exceed N160tn.
Furthermore, the World Bank confirmed that the project has moved beyond the appraisal stage and is now at the decision meeting phase. This stage usually signals that negotiations and major policy agreements have largely been completed before final approval by the Board of Executive Directors.
The Federal Ministry of Finance will oversee implementation of the programme. Meanwhile, the World Bank stated that the facility will improve access to finance, electricity, and digital services while also strengthening Nigeria’s tax, trade, and agricultural reforms.
