Nigeria Secures Additional $215 Million World Bank Loan for Palliative Measures

The World Bank has disbursed an additional $215 million to Nigeria under the $800 million National Social Safety Net Programme-Scale Up, increasing the total amount released to $530 million. This funding is part of the government’s efforts to provide conditional cash transfers to the nation’s most vulnerable citizens, aiming to alleviate the impact of recent economic reforms, including the removal of the petrol subsidy.

Initially, the programme was structured to deliver N5,000 monthly to targeted households. However, following policy changes introduced by President Bola Tinubu’s administration, the payment was revised to N25,000 monthly for three months, aiming to reach 15 million households across the country.

Despite receiving World Bank approval since December 2021, the implementation of the palliative programme suffered a disbursement delay of nearly 17 months. The recent disbursement brings the total amount released to $530 million, with approximately $226.73 million remaining available for drawdown.

The Nigerian government has partnered with the Central Bank of Nigeria (CBN) and the National Identity Management Commission (NIMC) to enforce beneficiary registration with Bank Verification Numbers (BVN) and National Identification Numbers (NIN) to boost controls and disbursement.

This initiative is part of a broader strategy to provide financial support to Nigeria’s poorest and most vulnerable citizens, cushioning the impact of recent economic shocks. The World Bank’s involvement underscores the international community’s support for Nigeria’s efforts to address poverty and inequality.