The Federal Government has received a mere 16% of the total loan approved by the World Bank under the administration of President Bola Tinubu. According to World Bank disbursement data, only $774.99 million had been released as of 31st July 2024, out of the $4.95 billion in approved loans.
These loans are earmarked for various projects, including economic stabilisation, infrastructure development, and social welfare. However, a substantial $4.16 billion remains undisbursed, highlighting a significant lag in the release of funds.
The analysis reveals that the first project approved under Tinubu’s administration, the Power Sector Recovery Performance-Based Operation, received just $1.12 million of its $750 million allocation. This slow disbursement reflects the conditional nature of these loans, which require the Nigerian government to meet specific criteria before additional funds can be accessed. These conditions are in place to ensure that the allocated funds are used effectively and that the projects achieve their intended goals.
It’s important to note that, according to the Debt Management Office (DMO), Nigeria’s total debt to the World Bank stood at $15.59 billion as of 31st March 2024.
Oreoluwa is an accountant and a brand writer with a flair for journalism.