World Bank Launches $100bn Initiative to Boost Jobs and Economic Growth

The World Bank has announced a landmark $100 billion initiative aimed at stimulating job creation and accelerating economic growth across developing nations, with Africa positioned as one of the major beneficiaries. The ambitious plan seeks to address the persistent challenges of unemployment, inequality, and sluggish economic recovery following global disruptions such as the COVID-19 pandemic, inflationary pressures, and rising debt burdens.

According to a statement from the World Bank headquarters in Washington, the new funding drive will be channeled into supporting small and medium-sized enterprises (SMEs), digital transformation, renewable energy projects, and infrastructure development in low- and middle-income countries. The initiative, which will run over a five-year period, also prioritises climate resilience, education, and financial inclusion as key pillars for sustainable economic progress.

World Bank President Ajay Banga emphasised that the programme represents a bold step toward ensuring inclusive economic growth that directly benefits the most vulnerable populations. He said the initiative will help countries build stronger economies capable of providing decent jobs and expanding opportunities for millions.

“The $100 billion drive is about empowering countries to grow in a way that is sustainable, inclusive, and job-rich. We are working with governments, the private sector, and development partners to ensure that growth translates into real opportunities for people,” Banga stated.

He noted that the bank will leverage partnerships with regional financial institutions, investors, and philanthropic organisations to mobilise additional funding that could push the total investment above $150 billion. “Our goal is to catalyse large-scale investments that will help developing nations unlock their full economic potential,” he added.

In Africa, the World Bank plans to channel a significant portion of the funds toward energy access, agricultural value chains, and digital infrastructure — areas that have shown strong potential to drive employment and poverty reduction. The initiative will also support countries implementing structural reforms to strengthen fiscal management and improve the ease of doing business.

Economists and development experts have welcomed the announcement, describing it as timely and necessary given the continent’s urgent need for job creation. With more than 10 million young Africans entering the job market each year, the World Bank’s focus on employment generation could have a transformative impact on livelihoods and economic stability.

Dr. Amina Ahmed, a development economist based in Lagos, noted that Nigeria and other African economies stand to benefit immensely if the funds are efficiently deployed. “This initiative has the potential to reignite growth in sectors like agriculture, manufacturing, and technology, which are major employers of labour. What matters most is ensuring that the resources are well-targeted and transparent,” she said.

She further stressed that for Nigeria to benefit optimally, it must strengthen governance structures, reduce bureaucratic bottlenecks, and enhance public-private partnerships that can absorb and effectively utilise such investments.

The World Bank also indicated that the initiative will prioritise empowering women and youth through access to finance and entrepreneurship programmes. According to the bank, gender equality remains central to its economic inclusion strategy, as women-led enterprises continue to face disproportionate barriers to credit and market access.

In addition to financial interventions, the initiative will support technical assistance and policy reforms to help countries modernise their economic systems. This includes improving tax collection efficiency, expanding access to quality education, and fostering innovation-driven economies that can compete globally.

A key component of the $100 billion drive will be the promotion of green and digital economies. The World Bank said that investments in renewable energy, sustainable agriculture, and digital technologies will create millions of new jobs while reducing environmental degradation and improving productivity.

The bank’s latest economic report shows that growth in Sub-Saharan Africa slowed to around 3% in 2024 due to debt distress, high inflation, and weak export earnings. However, the new funding drive aims to reverse this trend by helping countries stabilise their macroeconomic environments and stimulate domestic production.

The International Finance Corporation (IFC), the private sector arm of the World Bank Group, will play a critical role in implementing the initiative by facilitating access to finance for businesses and driving private investment in infrastructure and innovation. IFC Managing Director Makhtar Diop stated that mobilising private capital is key to achieving the programme’s objectives.

“Public funds alone cannot close the development gap. We must work hand in hand with investors, entrepreneurs, and governments to deliver inclusive and sustainable growth,” Diop said.

Meanwhile, the World Bank’s Vice President for Human Development, Mamta Murthi, noted that human capital investment will remain a priority area. She said countries that invest in education, healthcare, and skills development tend to experience more resilient and productive economies. “Creating jobs without developing people’s capabilities will not be sustainable. We want to build economies that work for everyone,” she added.

Reactions from African leaders have been largely positive. Several governments, including Nigeria, Kenya, and Ghana, have expressed interest in working closely with the World Bank to design country-specific programmes under the new framework. The Nigerian Ministry of Finance stated that the initiative aligns with the government’s National Development Plan, which targets inclusive growth and industrial diversification.

The World Bank’s $100 billion initiative marks one of the most ambitious global economic support programmes in recent years. By focusing on job creation, entrepreneurship, and sustainable investment, the project seeks to lay the foundation for resilient, inclusive growth that benefits developing nations for decades to come.