Nigeria takes World Bank loan of $1.57 bn for 3 projects

 

Nigeria has again taken another World Bank loan worth $1.57 billion to finance three projects in the health and educational sectors.
The bank had earlier approved $2.25 billion loan for the country to boost its economic reforms.

According to a statement by the world lending body on Monday, the fresh funding will support the country in addressing governance challenges in education and healthcare, improving primary healthcare services, and increasing resilience to climate change through enhanced dam safety and irrigation infrastructure.

The current loan was approved on September 26, 2024.

The country had equally sought for a loan of $500 million to reduce staffing gaps in education and health sectors.

The new financing package, which includes $1.5 billion loan and $70 million grant, is part of broader efforts to improve key sectors such as education, healthcare, and water management, while also tackling poverty and boosting productivity.

A breakdown of the approved projects for the $1.57 billion loan include the HOPE-GOV programme, which will receive $500 million to improve governance in the education and health sectors.

The programme is designed to address underlying issues in financial and human resource management that have hindered service delivery under President Bola Ahmed Tinubu’s administration.

The aim is to enhance transparency and accountability while ensuring that critical services such as basic education and primary healthcare reach the most vulnerable populations.

Another $570 million is earmarked for the Primary Healthcare Provision Strengthening Program (HOPE-PHC). This initiative is pivotal in improving Nigeria’s healthcare system, particularly for women, children, and adolescents.

The programme focuses on reducing maternal and under-five mortality rates and enhancing the resilience of Nigeria’s health infrastructure.

Under HOPE-PHC, the project will provide quality reproductive, maternal, newborn, child, and adolescent health services.

A total of 40 million Nigerians, especially those in underserved areas, are expected to benefit from the programme.

The initiative is funded by a $500 million International Development Association (IDA) credit, along with an additional $70 million grant from the Global Financing Facility (GFF), which includes contributions from the UK Foreign, Commonwealth & Development Office (FCDO) and the Children’s Investment Foundation Fund (CIFF). These funds will help bridge gaps in primary healthcare financing, while also supporting sustainable financing for family planning.

The remaining $500 million will be allocated to the Sustainable Power and Irrigation for Nigeria Project (SPIN), which aims to protect Nigeria from climate-induced challenges such as floods and droughts. Through enhanced dam safety measures, improved water resource management, and the expansion of irrigation services.

The SPIN program will benefit around 950,000 people, including farmers and livestock breeders.

The project will help Nigeria enhance its agricultural productivity through more reliable and efficient irrigation systems.

Also, the SPIN project includes plans to develop a master plan for hydropower generation, with a focus on boosting energy production through public-private partnerships.

In a statement, Dr Ndiamé Diop, World Bank Country Director for Nigeria, emphasized that investing in the health and education of Nigerians is crucial for improving future employment opportunities, productivity, and reducing poverty.