By Seun Adeuyi
The World Bank has approved Nigeria’s loan request of a $1.5 billion loan, the Bretton Wood institution said on Tuesday.
In a statement, the bank said the facility is a five-year country partnership framework (CPF) that will last from 2021 to 2024.
It said said the facility was prepared jointly with the International Finance Corporation (IFC) and the Multilateral Investment Guarantee Agency (MIGA).
The statement read partly, “This country partnership framework will guide our engagement for the next five years in supporting the government of Nigeria’s strategic priorities by taking a phased and adaptive approach,” Shubham Chaudhuri, World Bank country director for Nigeria said.
“To realize its long-term potential, the country has to make tangible progress on key challenges and pursue some bold reforms. Our engagement will focus on supporting Nigeria’s efforts to reduce poverty and promote sustained private sector-led growth.”
Two projects in Nigeria also got an approval of $1.5 billion by the bank’s board of directors.
The projects are Nigeria COVID-19 Action Recovery and Economic Stimulus – Program for Results (Nigeria CARES) and The State Fiscal Transparency, Accountability and Sustainability Program for Results (SFTAS) Additional Financing. Both projects will get a $750 million facility through the International Development Association (IDA).
Initially, the $1.5 billion loan had been delayed with Chaudhuri saying Nigeria needs to carry out more currency reform to access the loan.