The Federal Government is in advanced discussions with the World Bank over a fresh $1.25 billion loan aimed at supporting economic reforms, job creation, and business competitiveness in Nigeria.
According to documents obtained by Channels Television, the proposed facility falls under a programme titled Nigeria Actions for Investment and Jobs Acceleration.
The loan is expected to be presented for approval on June 26, 2026, after progressing through key stages of the World Bank’s internal review process.
If approved, it would become one of Nigeria’s largest recent loan packages from the global lender, second only to the $1.5 billion economic reform support facility approved in June 2024.
The document listed the Federal Republic of Nigeria as the borrower, while the Federal Ministry of Finance will oversee implementation.
The World Bank said the proposed funding is intended to improve access to finance, electricity, and digital services, while also strengthening competitiveness through reforms in taxation, trade, and agriculture.
Nigeria’s growing debt profile has continued to draw attention. As of December 31, 2025, the country’s external debt stood at $51.86 billion, while total public debt was estimated at $110.97 billion.
The proposed loan has now reached the “decision meeting” stage a near-final phase in the World Bank approval process where management reviews completed negotiations and decides whether the project should move to the Board of Executive Directors for final approval.
The latest talks come only days after the Accountant-General of the Federation, Shamseldeen Ogunjimi, warned that Nigeria could reject World Bank loan offers if approval and disbursement delays continue beyond six months.
Speaking during a meeting with a World Bank delegation in Abuja, Ogunjimi stressed that Nigeria expects faster processing because the facilities are loans that must eventually be repaid, not grants.
“If approvals take more than six months, the Nigerian Government may no longer honour such arrangements,” he warned.
He argued that long bureaucratic delays could disrupt project execution timelines and undermine development plans.
Between June 2023 and May 2026, the World Bank approved about $9.35 billion in loans and credits for Nigeria across sectors including healthcare, power, agriculture, education, renewable energy, and economic reform programmes.
Some of the major facilities approved during the period include the $2.25 billion RESET and ARMOR reform financing package in 2024, as well as over $1 billion in support for education and resilience programmes in 2025.
