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  • World Bank, FG okay $10m to tackle youth unemployment

    World Bank, FG okay $10m to tackle youth unemployment

    The World Bank on Monday, July 15, said it would be investing $10 million in skills development to tackle youth unemployment in the country.

    The Bank’s education specialist, Mistura Rufai, revealed this during the opening of a two-day Innovation Grant Facilities (IGF) Memorandum of Understanding (MoU)/Contract Signing and Implementation Workshop in Abuja on Monday.

    According to the Bank, the workshop was organised by the Innovation Development and Effectiveness in the Acquisition of Skills (IDEAS) Project of the Federal Ministry of Education.

    She stated that Nigeria needed youths to be empowered and trained in building its economic fortunes, adding that the current scheme had about 78 grantees to empower over 50,000 youths across the country.

    Rufai said: “This facility was designed to support complementing agencies that are promoting innovations in the training of digital skills.

    “It aims at supporting critical intervention projects in the skills development ecosystem such that we develop digital skills across the country.

    “The training is expected to have beginners, intermediate to advanced level. As we speak at the national level, we have about 10,000 youths currently being trained.

    “We also have about 78 grantees and we hope that in about a year, we will have over 50,000 grantees being trained.”

    The national project coordinator, IDEAS, Blessing Ogwu, said the programme was created to give every Nigerian child the opportunity to learn and acquire skills.

    She said that with the increasing number of out-of-school children in the country, there was a need to remove them from the street.

    The national coordinator urged the grantees to be committed to the initiative to reduce the number of unemployed youths in the country.

    She said: “The essence of this project is focusing on the skill acquisition to reduce unemployment in Nigeria. We don’t need anyone to tell us that we have so many youths who are unemployed.

    “Most of our youths are unemployed and the only way is for the youth to acquire our skills.”

    Read Also: World Bank: Nigeria retains lower middle income status

    The IGF Consultant, Prof. Ndem Ayara, explained that the project, scheduled to be implemented within one year, was a Public/Private Partnership (PPP) arrangement.

    Ayara said: “In the partnership, the public sector will support the consortium to implement the project up to 80 percent, and the private sector partner will provide 20 percent.

    “Of the 20 percent by the private sector, they will contribute 10 percent in kind and the other 10 percent in cash.

    “It is the cash component of the private sector contribution that is expected to be the counterpart funding by the private sector.”

  • World Bank: Nigeria retains lower middle income status

    World Bank: Nigeria retains lower middle income status

    Nigeria has retained its status as a lower middle income (LMI) country.

    The classification is part of the World Bank’s annual country classifications by income level for the period of 2024-2025. Previously, Nigeria was among the low-income countries in 1987.

    Over the years, due to economic growth and changes in its gross national income (GNI) per capita, Nigeria moved up to the lower-middle-income category by 2022. Other African countries that are currently classified as lower-middle-income countries, alongside Nigeria, include Angola, Benin Cape Verde, Cameroon,Congo, Republic,Cote d’Ivoire, Djibouti,Arab Republic of Egypt,Eswatini, Ghana,Guinea, Kenya,Lesotho,Morocco,Papua New Guinea ,Sao Tome and Principe, Senegal,Tanzania,Tunisia, and Zambia and Zimbabwe.

    Read Also: NigcomSat, Dimension Data sign MoU on improved internet services

    The World Bank Group categorises the world’s economies into four income groups based on Gross National Income (GNI) per capita.: low, lower-middle, upper-middle, and high. These classifications are updated annually on July 1st and are based on GNI figures from the previous calendar year. Countries in Lower-middle-income economies group have a moderate GNI per capita, higher than low-income economies but below a higher threshold. The GNI per capita figures are expressed in United States dollars (USD) and are adjusted using conversion factors derived according to the Atlas method. The Atlas method has been in use since 1989 and provides a standardised way to compare economic output across different countries by accounting for differences in price levels and currency exchange rates.

    The World Bank updates its income classification annually, adjusting for inflation and exchange rate fluctuations to maintain accuracy and relevance.

    According to the World Bank 2021/22 country income group classification, LMI Africa has 23 member states: Algeria, Angola, Benin, Cameroon, Cape Verde, Comoros, the Republic of the Congo, Côte d’Ivoire, Djibouti, Egypt, Ghana, Kenya, Lesotho, Mauritania, Morocco, Nigeria, São Tomé and Príncipe, Senegal, Eswatini, Tanzania, Tunisia, Zambia and Zimbabwe.

    The World Bank said, the classification of countries into income categories has evolved significantly over the period since the late 1980s. In Sub-Saharan Africa, 74 per cent of countries in this region were classified as low income in 1987. By 2022, the proportion had decreased to 46 per cent.

    While there has been progress, the report noted that Sub-Saharan Africa still has a substantial proportion of low-income countries compared to other regions.

    Meanwhile, a study from the International Futures (IFs) modelling platform projects significant demographic changes for Lower Middle-Income Africa (LMI Africa) by 2043.

    The total population of LMI Africa was 697.8 million in 2019. According to the study, this population is expected to increase to 1.17 billion by 2043. This indicates a substantial growth of approximately 472.2 million people over the span of 24 years.

    The study relates these demographic changes to the third ten-year implementation plan of the African Union’s Agenda 2063. The long-term vision of African Union’s Agenda 2063, it noted, aims for inclusive growth and sustainable development across Africa, with specific goals related to economic prosperity, social equity, and environmental sustainability.

    In 2019, among the economies in LMI Africa, Nigeria had the largest economy at $560.7 billion, while São Tomé and Príncipe had the smallest economy at $317 million.  With significant agricultural potential, the study noted that average crop yields in LMI Africa could increase by 44 per cent. The increase in agricultural productivity, it maintained, is expected to reduce the percentage of people living in extreme poverty by nearly 5 percentage points, bringing it down to 33.3 per cent by 2043.

  • World Bank: Nigeria gets $19.5b of SSA’s $54b diaspora remittances

    World Bank: Nigeria gets $19.5b of SSA’s $54b diaspora remittances

    Nigeria accounted for about 35 per cent of diaspora remittances in Sub-Saharan Africa (SSA), with the country receiving $19.5 billion out of the region’s $54 billion inflows last year.

    World Bank’s latest Migration and Development Brief released at the weekend however showed that remittance flows to Sub-Saharan Africa recorded a slight decrease of 0.3 per cent.

    Remittances supported the current accounts of several African countries that were dealing with food insecurity, drought, supply chain disruptions, floods, and debt-servicing difficulties.

    Continuing, the bank said remittance flows were nearly 1.5 times the size of Foreign Direct Investment flows in 2023, and relatively more stable. The largest recipients of remittances in the region during 2023—measured in dollar terms—include Nigeria, Ghana, Kenya, and Zimbabwe. Remittances have become the most important foreign exchange earner in several countries.

    The regional growth in remittances in 2023 was largely driven by strong remittance growth in Uganda, 15 per cent to $1.4 billion; Rwanda, 9.3 per cent to $0.5 billion; Kenya, 2.6 per cent to $4.2 billion and Tanzania, with four per cent to $0.7 billion. Remittances to Nigeria, accounting for around 35 percent of total remittance inflows to the region, decreased by 2.9 per cent to $19.5 billion.

    The report also reveals that diaspora remittances constitute one-fifth of the Gross Domestic Product (GDP) in countries like Gambia, Lesotho, Comoros, Liberia, and Cabo Verde. These nations heavily rely on these inflows for their economic development.

    According to the report, Nigeria receives $19.5 billion in diaspora inflow, a 2.9 per cent decline from the previous year. While this percentage is the highest in Sub-Saharan Africa, it pales in comparison to countries with large diaspora populations, such as India, which received approximately $119 billion in the same period.

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    The report also showed that these remittances came mainly from countries such as the United States and Canada as well as from the United Kingdom, Switzerland, and Italy.

    It is also important to note that Sub-Saharan Africa has the highest remittance cost with an average of 7.9 per cent compared to other regions.

    These remittance costs include payments such as bank charges, money transfer operator’s percentage as well as stamp duties, among others. While Nigeria diaspora remittances contributes significantly to the large inflow of foreign exchange liquidity in the country, it is speculated that only about 10 per cent of the total remittances end up in the official foreign exchange (forex) market.

  • World Bank: Global growth is stabilizing for first time in three years

    World Bank: Global growth is stabilizing for first time in three years

    The global economy is expected to stabilize for the first time in three years in 2024—but at a level that is weak by recent historical standards, according to the World Bank’s latest Global Economic Prospects report.

    Global growth is projected to hold steady at 2.6 per cent in 2024 before edging up to an average of 2.7 per cent in 2025-26. That is well below the 3.1 per cent average in the decade before COVID-19. The forecast implies that over the course of 2024-26 countries that collectively account for more than 80 per cent of the world’s population and global GDP would still be growing more slowly than they did in the decade before COVID-19.

    Overall, developing economies are projected to grow four per cent on average over 2024-25, slightly slower than in 2023. Growth in low-income economies is expected to accelerate to five per cent in 2024 from 3.8% in 2023. However, the forecasts for 2024 growth reflect downgrades in three out of every four low-income economies since January. In advanced economies, growth is set to remain steady at 1.5% in 2024 before rising to 1.7 per cent in 2025.

    “Four years after the upheavals caused by the pandemic, conflicts, inflation, and monetary tightening, it appears that global economic growth is steadying,” said Indermit Gill, the World Bank Group’s Chief Economist and Senior Vice President. “However, growth is at lower levels than before 2020. Prospects for the world’s poorest economies are even more worrisome. They face punishing levels of debt service, constricting trade possibilities, and costly climate events. Developing economies will have to find ways to encourage private investment, reduce public debt, and improve education, health, and basic infrastructure. The poorest among them—especially the 75 countries eligible for concessional assistance from the International Development Association—will not be able to do this without international support.”

    This year, one in four developing economies is expected to remain poorer than it was on the eve of the pandemic in 2019. This proportion is twice as high for countries in fragile- and conflict-affected situations. Moreover, the income gap between developing economies and advanced economies is set to widen in nearly half of developing economies over 2020-24—the highest share since the 1990s. Per capita income in these economies—an important indicator of living standards—is expected to grow by three per cent on average through 2026, well below the average of 3.8% in the decade before COVID-19.

    Read Also;$2.25b World Bank loan offers hope for economy’s recovery

    Global inflation is expected to moderate to 3.5 per cent in 2024 and 2.9 per cent in 2025, but the pace of decline is slower than was projected just six months ago. Many central banks, as a result, are expected to remain cautious in lowering policy interest rates. Global interest rates are likely to remain high by the standards of recent decades—averaging about four per centover 2025-26, roughly double the 2000-19 average.

    “Although food and energy prices have moderated across the world, core inflation remains relatively high—and could stay that way,” said Ayhan Kose, the World Bank’s Deputy Chief Economist and Director of the Prospects Group. “That could prompt central banks in major advanced economies to delay interest-rate cuts. An environment of ‘higher-for-longer’ rates would mean tighter global financial conditions and much weaker growth in developing economies.”

    The latest Global Economic Prospects report also features two analytical chapters of topical importance. The first outlines how public investment can be used to accelerate private investment and promote economic growth. It finds that public investment growth in developing economies has halved since the global financial crisis, dropping to an annual average of 5% in the past decade. Yet public investment can be a powerful policy lever. For developing economies with ample fiscal space and efficient government spending practices, scaling up public investment by 1% of GDP can increase the level of output by up to 1.6% over the medium term.

    The second analytical chapter explores why small states—those with a population of around 1.5 million or less—suffer chronic fiscal difficulties. Two-fifths of the 35 developing economies that are small states are at high risk of debt distress or already in it. That’s roughly twice the share for other developing economies. Comprehensive reforms are needed to address the fiscal challenges of small states. Revenues could be drawn from a more stable and secure tax base. Spending efficiency could be improved—especially in health, education, and infrastructure. Fiscal frameworks could be adopted to manage the higher frequency of natural disasters and other shocks. Targeted and coordinated global policies can also help put these countries on a more sustainable fiscal path.

  • $2.25b World Bank loan offers hope for economy’s recovery

    $2.25b World Bank loan offers hope for economy’s recovery

    The Federal Government of Nigeria has secured $2.25 billion in funding from the World Bank, comprising two key financial operations aimed at economic stabilisation and support for vulnerable populations.

    Key details of the facility include a 40-year term with a 10-year moratorium with a nominal interest rate of one per cent. This initiative is part of a broader effort to support Nigeria’s fiscal sustainability and economic resilience.

    Analysts at Commercio Partners said, the package includes $1.5 billion Nigeria Reforms for Economic Stabilisation to Enable Transformation Development Policy Financing Program (RESET)and $750 million Nigeria Accelerating Resource Mobilisation Reforms Program-for-Results (ARMOR).

    Analyst at Commercio Partners, Ifeanyi Uba, explained that this funding is intended to provide immediate financial and technical support for Nigeria’s urgent economic stabilisation efforts, enhance non-oil revenue generation, and safeguard oil revenues to promote fiscal sustainability and improve public service delivery.

    The approval, announced by the World Bank on June 13, 2024, follows recent discussions at the International Monetary Fund and World Bank Spring meetings, where Finance Minister Wale Edun highlighted the nation’s qualification for this significant funding support.

    This combined $2.25 billion package provides immediate financial and technical support to Nigeria’s urgent efforts to stabilise the economy and scale up support to the poor and most economically at risk. It further supports Nigeria’s ambitious, multi-year effort to raise non-oil revenues and safeguard oil revenues to promote fiscal sustainability and provide sufficient resources to deliver quality public services.

    Confronted with a fragile economic situation, Nigeria recognised the urgency of changing course and embarked on critical reforms to address economic distortions and strengthen the fiscal outlook. Initial critical steps to restore macroeconomic stability, boost revenues, and create the conditions to reignite growth and poverty reduction have been taken.

    These include unifying the multiple official exchange rates and fostering a market-determined official rate, as well as sharply adjusting gasoline prices to begin to phase out the costly, regressive, and opaque gasoline subsidy. The Central Bank of Nigeria (CBN) has refocused on its core mandate of price stability and is tightening monetary policy including by increasing interest rates, as is appropriate to reduce inflation. A targeted cash transfer program is being rolled out to cushion the impact of high inflation on the poor and economically insecure households.

    “We have embarked on bold and necessary reforms to restore macroeconomic stability and put the country back on a sustainable and inclusive economic growth path that will create quality jobs and economic opportunities for all Nigerians,”  Edun said.

    “We welcome the support of the RESET and ARMOR programs as we further consolidate and implement our macro-fiscal and social protection policy reforms, consistent with accelerating investment and redirecting public resources sustainably to achieve development priorities.” 

    Read Also: Sanwo-Olu’s wife seeks quality education for boys

    “Nigeria’s concerted efforts to implement far-reaching macro-fiscal reforms place it on a new path which can stabilise its economy and lift its people out of poverty. It is critical to sustain the reform momentum and continue to scale up and expand protection to the poor and economically at risk to cushion the effects of cost-of-living pressures on citizens,”  the World Bank Vice President for Western and Central Africa, Ousmane Diagana, said.

    “This financing package reinforces the World Bank’s strong partnership with Nigeria, and our support towards reinvigorating its economy and fast-tracking poverty reduction, which can serve as a beacon for Africa.”

  • Govt, IITA, World Bank to partner on innovative agric practices

    Govt, IITA, World Bank to partner on innovative agric practices

    The Federal Government, International Institute of Tropical Agriculture (IITA), and World Bank have agreed to collaborate on innovative agricultural practices to combat food insecurity in Nigeria and the wider sub-Saharan African region.

    This came out of a high-level meeting at the Presidential Villa between Vice President Kashim Shettima and a delegation from the IITA, World Bank, and the International Food Policy Research Institute (IFPRI).

    Speaking during the meeting, VP Shettima stated that the entire mantra is focused on increasing yield, and the IITA is in a vantage position to assist not just Nigeria but sub-Saharan Africa in repositioning the agriculture ecosystem through smart agriculture, climate-resilient agriculture, and improved seedlings.

    “The IITA is at a vantage position to assist not just Nigeria but sub-Saharan Africa towards repositioning the agriculture ecosystem through smart agriculture, climate resilient agriculture, and improved seedlings,” he said.

    According to a statement issued yesterday by Senior Special Assistant to the President on Media and Communications, Office of the Vice President, Stanley Nkwocha, Shettima emphasised the critical role of the IITA, which was founded in 1967, in shaping Nigeria’s agricultural landscape.            

    Read Also; Labour rejects Fed Govt’s N57,000 minimum wage proposal  

    “More than ever before, we need the IITA now. By 2050, we will be the third most populous nation on earth,” Shettima stated.

    The Vice President also noted the interconnectedness between the economy and ecology, exacerbated by desertification, climate change, and insecurity challenges in the Sahel region.

    “In the food basket of the nation, there is an incestuous relationship between economy and ecology because of desertification and climate change. The productivity of our agriculture is poor, and is compounded by insecurity, which might not be unconnected with the challenges in the Sahel,” he explained.

    Calling for close collaboration with the IITA, VP Shettima pointed out the importance of investing in agriculture as a business.

    He specifically requested the institute’s assistance in providing high-quality seeds for maize and root crops, particularly cassava. The Vice President lauded the widespread adoption of IITA’s improved cassava seedlings in the Southwest region, urging the institute to extend similar initiatives to other sub-Saharan African nations.

    Earlier, the Director General of the IITA, Dr Simeon Ehui, thanked the Vice President for his leadership and commitment to the development of agriculture in Nigeria and support to the Institute.

    He said the delegation from the Institute was in Abuja for a strategic meeting that aims to review IITA’s partnerships, collaborations and stakeholder engagements, all to support the Federal Government’s efforts in addressing food security in Nigeria and across the West African sub-region.

    On his part, the Deputy Director General, Partnerships for Delivery, IITA, Dr Dashiell Kenton, said the institute is supporting a few initiatives of the Federal Government aimed at creating employment opportunities for young Nigerians in the sector.

    According to him, the ‘Youth in Agribusiness’ initiative of the Bola Ahmed Tinubu administration is commendable and should be scaled up to empower more young Nigerians, assuring that the institute, through the initiative, will empower more smallholder farmers with knowledge on improved agricultural practices.

    In the same vein, the World Bank Practice Manager for Agriculture and Food Global Practice, Mr. Abel Lufafa, said the IITA, World Bank and other partners were delighted with the level of interest and quantum of support deployed by the Tinubu administration in revamping agricultural productivity in the country.

    He said the President and Vice President are demonstrating uncommon leadership in repositioning agricultural production in Nigeria, just as he noted that the World Bank and other partners are impressed with the paradigm shift especially the change to a government-led collaboration in the sector.

    Similarly, a senior researcher at the International Food Policy Research Institute, Channing Arndt, said the organization’s partnership with the IITA cuts across diverse areas of agricultural value, noting however that the primary objective is to support ongoing efforts to improve agricultural practices and rapidly boost food production.

    The delegation led by the IITA Board Chair, Prof. Roel Merckx, also had in attendance board members, Ms. Rhoda Tumusiime; Dr. Namanga Ngongi; Dr. Ylva Hillbur, and Deputy Director General, Research for Development, IITA, Dr Bernard Vanlauwe, among others.

  • Oyo, World Bank set to renovate 58 schools

    Oyo, World Bank set to renovate 58 schools

    The Oyo state government in collaboration with Global Partnership for Education (GPE), a World Bank-assisted programme has disbursed grants for the renovation of 58 public schools in the state.

    This was revealed by the Commissioner for Education, Science, and Technology, Prof. Salihu Adelabu during a meeting with stakeholders in Ibadan on Monday.

    The stakeholders in attendance include Chairmen of School-Based Management Committees, SBMCs, and head teachers among others.

    During the meeting, Prof. Adelabu revealed that some of the selected public schools will receive facelift, through rehabilitation.

    He called on the School-Based Management Committee (SBMC) and headteachers responsible for the project delivery in various local governments, to be accountable and transparent in utilising the funds.

    He said, “As part of the approved workplace for the project some schools were selected for infrastructural development exercise, such as renovation of classrooms, with potable water, furniture, toilet facilities and solar system”, he hinted.

    Also speaking, the Executive Chairman of Oyo State Universal Basic Education Board, Dr. Nureni Adeniran hinted that the cost of the schools selected for rehabilitation under the same programme would be determined upon inspection of the deplorable nature of the benefiting schools.

    He underscored the importance of education as a priority area of the present administration.

    He said the project was significant with the agenda of the state government in developing a road map in its educational sector.

    “The BESDA, Additional Fund Transforming Education Sector At State level is a global Partnership in Education sponsored program for states with special considerations that performed well in the first phase of BESDA”, Adeniran said.

    Speaking further, he said: “This underscores the fact that education is a priority for the Oyo state government, under Engr. Seyi Makinde. The rehabilitation of schools would create a conducive learning environment for our children.”

    The Special Adviser on Education Intervention, Oloye Tiamiyu Abiodun, said the grant was meant to turn around the infrastructure of schools in the state, adding that the project will enhance the capacity of education in the state, hence the need to involve SBMCs.

    Read Also: World Bank to renovate 534 schools in Niger

    He added that the selection of beneficiary schools was objective and devoid of bias or political interference.

    The Special Adviser stated that the project was a collective delivery by each community, and meeting the criteria and benchmark set by the World Bank would determine the next phase of the project.

    He said the GPE was providing support to three focus states of Oyo, Adamawa, and Kastina to address issues of access and learning outcomes.

    “We are about to witness transformation in schools’ infrastructure that are under-served or hard to reach either for construction or renovation with basic amenities. This is to make learning conducive for learners, increase enrollment, and ultimately reduce the menace of out-of-school children,” he said.

    The SBMC Chairman, Community Basic School, Idi Ose, Igana, Mr. John Omolewu who spoke on behalf of the benefiting schools, promised quality and transparent execution of the job at the end of the project.

  • World Bank to renovate 534 schools in Niger

    World Bank to renovate 534 schools in Niger

    The World Bank under the Adolescent Girls Initiative for Learning and Empowerment (AGILE) project has announced it would renovate 534 schools and construct 54 secondary schools across the State.

    The renovations and constructions of schools is to address the infrastructural decay and improve enrollment of students across the State.

    The AGILE Deputy Project Cordinator, Salisu Danjuma, who announced this at a one-day sensitisation workshop for Zonal Quality Assistance Officers in Minna, said that plans are on ground to give monetary incentives of N5,000 and N10,000 to vulnerable girls in seven local government areas of Niger state to enable them stay in school.

    He said that the project is meant to encourage girls who would ordinarily not transist to secondary school due to financial difficulties of their families.

    “We have been told that the seven most vulnerable local government areas in Niger state include Mokwa, Mariga, Rafi, Shiroro, Lavun, Lapai, and Gbako. We will start with these local government areas.

    “The girls would be selected based on the background of their families. The most poorest will be the ones supported. We have started accessing the girls. They will be in cohorts.

    “The girls in Junior secondary will be assisted with N5,000 every term and the girls in the senior secondary will be assisted with N10,000 every term.

    “This would reduce the poverty level of the family that is preventing the girl from going to school. The incentive would allow the families to allow these girls to go to school as the money would be used to help the family. The incentive would improve the enrollment and completion of the girls secondary education,” Salisu said.

    Read Also: Nigeria’s economic resilience shines at World Bank, IMF Meetings

    The Deputy Project Director further announced the schools renovation and construction is also being embarked upon to improve the infrastructures in schools and improve the learning conditions of these schools.

    “One of the component of the AGILE project would be the renovation of 534 schools and construction of 54 schools which would include 27 junior secondary schools and 27 senior secondary schools. The entire work would be handled by community people, the school based management committee of the school.”

    He said that the schools would be entitled to grants between $30,000 to $90,000 depending om the population pf the schools stating tbat the money would be given in trenches to the benefiting schools.

  • Nigeria’s economic resilience shines at World Bank, IMF Meetings

    Nigeria’s economic resilience shines at World Bank, IMF Meetings

    Nigeria stood out during the recent World Bank and International Monetary Fund (IMF) Spring Meetings, garnering praise from global economic leaders for its proactive measures in the face of international challenges.

    The 2024 Spring Meetings, held amidst a backdrop of persistent inflation and geopolitical tensions, underscored Nigeria’s ascent as a regional trailblazer in fostering sustainable economic practices.

    Notably, the IMF and World Bank commended Nigeria’s robust efforts, citing the tightening of monetary policies and subsequent upward revision of the country’s growth forecast to 3.4% this year as a testament to the effectiveness of the government’s economic strategies.

    Wale Edun, Nigeria’s Minister of Finance and Coordinating Minister for the Economy, who also chairs the African caucus, emphasised the nation’s pivotal role in advocating for Africa’s economic interests on the global stage.

    Of particular significance was Nigeria’s ratification of the third chair for Sub-Saharan Africa at the IMF, a move aimed at amplifying the continent’s voice in international economic discourse.

    Speaking at the meetings, Edun outlined the government’s multifaceted approach to economic stability, highlighting initiatives geared towards bolstering key sectors such as agriculture, manufacturing, and electricity.

    He emphasized the dual purpose of these efforts: stabilizing prices and reducing dependency on imports to secure the nation’s food supply.

    “Our focus on agriculture, manufacturing, and electricity aims not only to stabilize prices but also to secure food and reduce dependency on imports.

    “These initiatives, coupled with the inflation targeting policies of the Central Bank, are expected to reduce inflation by the second half of the year, which would allow for a potential reduction in interest rates.”

    In addition to sector-specific initiatives, Minister Edun outlined strides made in the housing sector to support sustainable value chains, anticipating a catalytic effect on the economy and improved accessibility to housing. He also highlighted the revamping of the National Social Investment Programme (NSIP), ensuring targeted delivery and efficiency in supporting vulnerable populations.

    The government’s commitment to maintaining the Naira as a strong store of value was reiterated, alongside ongoing dialogues with the private sector to align policies with their growth and sustainability needs. Notably, efforts to enhance liquidity and transparency in the foreign exchange market, spearheaded by the Central Bank of Nigeria (CBN) with support from the Ministry of Finance, are yielding positive results.

    Mrs. Lydia Shehu Jafiya, Permanent Secretary of the Federal Ministry of Finance, reaffirmed the Ministry’s dedication to swift policy implementation.

    “We are committed to aligning our actions with the administration’s policy thrust, ensuring effective execution and goal attainment,” she stated.

    Read Also: World Bank, AfDB to connect 300m Africans to electricity by 2030

    Looking forward, Minister Edun expressed confidence in Nigeria’s future: “With the ongoing adjustments and the resilient and resourceful spirit of our people, we are confident of a brighter, more prosperous future for all Nigerians.”

    The Federal Ministry of Finance continues to collaborate closely with the World Bank to secure a substantial financing package, further underscoring Nigeria’s commitment to sustainable economic development.

    The upcoming Board meeting in June 2024 is expected to finalize approval for the $2.25 billion financing proposal, comprising Development Policy Financing and Programme-for-Results Financing, reflecting a shared vision for Nigeria’s economic progress on the global stage.

  • World Bank, AfDB to connect 300m Africans to electricity by 2030

    World Bank, AfDB to connect 300m Africans to electricity by 2030

    The World Bank Group and African Development Bank Group are partnering on an ambitious effort to provide at least 300 million people in Africa with electricity access by 2030.

    World Bank Group President ,  Ajay Banga, said the World Bank Group will work to connect 250 million people to electricity through distributed renewable energy systems or the distribution grid while the African Development Bank Group will support an additional 50 million people.

    He said that access to electricity is a fundamental human right and is foundational to any successful development effort.  Currently, 600 million Africans lack access to electricity, creating significant barriers to health care, education, productivity, digital inclusivity, and ultimately job creation.

    “Electricity access is the bedrock of all development. It is a critical ingredient for economic growth and essential for job creation at scale.  Our aspiration will only be realized with partnership and ambition. We will need policy action from governments, financing from multilateral development banks, and private sector investment to see this through,” Banga said.

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    This partnership is a demonstration of the determination of the World Bank Group and the African Development Bank Group to be bolder, bigger and better in tackling one of the most pressing challenges in Africa. The initiative is the most recent manifestation of the World Bank Group’s commitment to become more impact-oriented and is the byproduct of a concerted workplan to build a better bank. It is aided by a constellation of regional energy programs that will now be aligned toward this common goal.

    For the World Bank Group to connect 250 million people, $30 billion of public sector investment will be needed, of which IDA, the World Bank’s concessional arm for low-income countries, will be critical. In addition, governments will need to put in place policies to attract private investment, and reform their utilities so they are financially sound and efficient with tariff mechanisms that protect the poor.

    Connecting 250 million people to electricity would open private sector investment opportunities in distributed renewable energy alone worth $9 billion. Beyond that, there would be substantial opportunities for private investments in grid-connected renewable energy needed to power economies for growth.