By Atlantic Reports

The World Bank Group says it is helping to mobilise up to $5.79 billion in private financing for Nigeria through investments and programmes aimed at expanding infrastructure, supporting businesses and creating jobs.

In a report published on Sunday, titled “Unlocking $5.79 Billion in Private Financing”, the institution outlined financing arrangements across telecommunications, agriculture, fertiliser production and small-business lending.

The total includes capital already mobilised alongside investment expected from future financing rounds. It does not represent a newly approved $5.79 billion loan or grant, nor does it mean the entire amount has been spent.

The Bank said its approach combines public-sector reforms, commercial financing and guarantees designed to reduce investment risks and attract capital into productive sectors.

It identified the International Finance Corporation (IFC) and the Multilateral Investment Guarantee Agency (MIGA), both members of the World Bank Group, as important participants. IFC supports investment structuring and financing, while MIGA provides guarantees against specified risks.

Broadband Expansion Targets 58 Million More People

The report identified the Building Resilient Digital Infrastructure for Growth (BRIDGE) Project as a major route for attracting investment into Nigeria’s broadband infrastructure.

According to the Bank, the initial investor-selection process is expected to mobilise at least $156 million in private equity. Subsequent financing rounds could bring private investment to as much as $1.1 billion by 2030.

The project aims to extend affordable broadband access to an additional 58 million Nigerians, increasing coverage from 92 million people in 2025 to approximately 150 million by the end of the decade.

The Bank said expected beneficiaries included 42 million additional young people and 15 million women. These categories may overlap and should not be treated as separate totals.

The infrastructure programme also targets connections to 38,800 public schools, 16,900 health facilities and 3,400 local government offices.

These remain projected outcomes, dependent on investment mobilisation and implementation.

Small-Business Programme Targets Finance and Jobs

The Bank said its Fostering Inclusive Finance for MSMEs in Nigeria programme, known as FINCLUDE, was expected to mobilise nearly $1.89 billion in private financing.

The programme targets more than 250,000 micro, small and medium enterprises, particularly those operating in sectors with substantial employment potential.

It is projected to support approximately 850,000 direct and indirect jobs. That figure represents an anticipated outcome, rather than jobs already created.

The Bank said FINCLUDE included a $500 million financing package combining resources from the International Bank for Reconstruction and Development and the International Development Association. This package is distinct from the private financing the programme seeks to attract.

Agriculture and Fertiliser Investments

In agriculture, the Agricultural Value Chains for Growth Project is expected to support approximately one million smallholder farmers.

The Bank said the programme could attract about $220 million from agribusiness companies and a further $22 million from certified seed producers.

It also highlighted IFC-supported financing for Dangote Industries Limited and Indorama Fertilizer, aimed at strengthening domestic fertiliser production.

According to the report, IFC helped mobilise $1.02 billion for Dangote and $282.5 million for Indorama through arrangements involving development institutions and commercial lenders.

The Bank said these investments could improve agricultural productivity and access to inputs for more than 10 million smallholder farmers.

Telecommunications Financing Already Mobilised

The report also cited IFC’s participation in a $1.2 billion bond issuance by IHS Towers.

The Bank said the transaction attracted more than $1.1 billion from private investors into telecommunications infrastructure.

Unlike the anticipated financing under some of the programmes, this was presented as capital already mobilised through a financing transaction.

The institution attributed improved investment conditions partly to Nigeria’s economic reforms since mid-2023, particularly foreign-exchange management and public-finance measures.

For households, farmers and businesses, the significance of the financing will depend on delivery: whether broadband becomes accessible and affordable, enterprises obtain usable credit, agricultural inputs reach producers and projected employment translates into actual jobs.

Atlantic Reports: Voices. People. Facts.