World Bank disburses 20% of $11.4bn approved for Tinubu’s projects

Although the World Bank has approved $11.4 billion in financing for Nigeria since President Bola Tinubu assumed office in May 2023, only about $2.32 billion has so far been disbursed, according to data obtained from the global lender.

An analysis of the World Bank’s project portfolio shows that while loan approvals have accelerated under the current administration, the bulk of the funds—about $8.41 billion—remains undisbursed, reflecting a disbursement rate of roughly 20.3 per cent.

The approved loans cover economic reforms, power, agriculture, healthcare, education, digital infrastructure, financial inclusion and social protection.

The largest financing package came in June 2024, when the World Bank approved $2.25 billion to support Nigeria’s economic reform programme through the Nigeria Reforms for Economic Stabilisation to Enable Transformation programme and the Nigeria Accelerating Resource Mobilisation Reforms Programme.

While the RESET programme has been fully disbursed, only part of the ARMOR facility has been released, with about $469 million still pending.

The World Bank said the financing was designed to strengthen macroeconomic stability, improve domestic revenue mobilisation and cushion vulnerable Nigerians during the implementation of key reforms, including fuel subsidy removal and foreign exchange liberalisation.

In June 2026, the bank approved another $1.25 billion under the Nigeria Actions for Investment and Jobs Acceleration initiative as part of its new Country Partnership Framework for Nigeria covering 2026 to 2032.

The programme is expected to support private sector growth, job creation, digital infrastructure, energy access and agricultural productivity.

Agriculture also received significant funding, including a $500 million facility approved in March 2026 for the Nigeria Sustainable Agricultural Value-Chains for Growth project, alongside another $500 million approved in December 2024 for the Rural Access and Agricultural Marketing Project Scale-Up.

However, neither project has recorded any disbursement.

In the power sector, the World Bank approved multiple facilities, including $750 million for the Power Sector Recovery Programme shortly after Tinubu assumed office and another $750 million for the Nigeria Distributed Access through Renewable Energy Scale-up Project.

The renewable energy programme is expected to improve electricity access for about 17.5 million Nigerians through off-grid solutions, although only one component of the financing has begun disbursement.

Another $500 million was approved in September 2024 for the Sustainable Power and Irrigation for Nigeria Project, aimed at improving dam safety, irrigation infrastructure and hydropower generation.

Education and healthcare also account for a substantial share of the portfolio.

Among the major approvals are the $700 million Adolescent Girls Initiative for Learning and Empowerment, the $500 million Nigeria for Women Programme Scale-Up, and three separate $500 million facilities approved under the Human Capital Opportunities for Prosperity and Equity programme to strengthen governance, primary healthcare and education.

Most of these projects remain at early implementation stages, with only limited amounts released.

The World Bank also approved $500 million each for the Building Resilient Digital Infrastructure for Growth project and the Fostering Inclusive Finance for MSMEs programme, as well as $250 million for Nigeria’s Health Security Programme.

None of the facilities has recorded any disbursement.

Data from the lender show that the Tinubu administration has secured $11.4 billion in approvals within three years, representing about 78 per cent of the $14.59 billion approved during former President Muhammadu Buhari’s eight years in office.

However, Buhari-era projects have recorded much higher implementation, with about $11.94 billion already disbursed—equivalent to roughly 82 per cent of approved financing.

The current administration has averaged about $3.7 billion in World Bank approvals annually, more than double Buhari’s yearly average of about $1.8 billion.

According to the Debt Management Office, Nigeria’s outstanding debt to the World Bank rose from $17.81 billion in 2024 to $19.89 billion by the end of 2025, accounting for more than 38 per cent of the country’s total external debt stock.

Economists have expressed mixed reactions to the growing commitments.

Development economist Aliyu Ilias questioned the pace of borrowing despite improved government revenue, warning that rising debt servicing could reduce spending on critical infrastructure and social services.

On the other hand, economist Muda Yusuf said borrowing could be justified if the funds were invested in productive projects capable of generating economic returns, stressing that debt sustainability should remain the government’s priority.

The World Bank explained that approved loans are not released at once but are disbursed in phases after agreed project milestones and conditions have been met.

Meanwhile, Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, defended the government’s borrowing strategy, arguing that the focus should be on the purpose, cost and expected returns of the loans rather than the volume of debt alone.