From Uche Usim, Abuja
Federal Government’s efforts at reviving the economy got a boost on Tuesday, as the World Bank announced its approval of Nigeria’s $1.5 billion (about N571 billion) loan request to achieve those objectives.
The loan comes barely two years after the global bank approved $486 million (N185 billion) loan for Nigeria to address electricity transmission network and infrastructure challenges.
The Bretton Wood institution, which made the disclosure noted that the $1.5 billion facility will be used in investing in human capital, promoting jobs and economic transformation and diversification, enhancing resilience and strengthening the foundations of the public sector.
It added that the fund, a five-year country partnership framework (CPF) tenored from 2021 to 2024, will also help Nigeria realise its long-term potential.
Commenting on the development, Mr Shubham Chaudhuri, World Bank Country Director for Nigeria, said that the loan, which was requested in the wake of the COVID-19 pestilence, was delayed to allow Nigeria carry out currency reform including the unification and flexibility of the exchange rate, removal of fuel subsidy, among others.
‘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.
‘To realise 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,’ he said.