Tag: world bank

  • CBN underwrites World Bank’s $300m mortgage loan

    The Central Bank of Nigeria (CBN) is underwriting a $300 million World Bank loan for the Nigerian Housing Finance Programme (NHFP).

    Addressing reporters on the sideline of a conference designed to find solutions to mortgage financing in Nigeria, Director, Other Financial Institutions Supervision Department of the CBN, Mrs Tokunbo Martins, said the CBN “is underwriting part of the $300 million risk of the NHFP.

    The programme benefited from a loan of $300 million for 40 years from the global lender and the CBN is underwriting the foreign exchange risks.

    According to Mrs. Martins, “the CBN is the Project implementing entity of the NHFP and the NHFP is meant to re-fund the primary and secondary markets for mortgages. It is a public private partnership and we have a loan from the World Bank so CBN itself is not putting anything in directly.”

    Corroborating Mrs. Martins, Head, Nigeria Housing Finance Programme domiciled in CBN and head of the implementation team, Adedeji Jones Adesemoye told reporters that “the major driver of the programme, the Nigeria Mortgage Refinancing Company (NMRC) funds (N8.2billion and N11.1 billion) from the Nigerian capital market to refinance the mortgages that have been financed by primary mortgage institutions.”

    He disclosed that a component of the mortgage package is that money will be disbursed through seven microfinance banks across the nation, this money is given to them in naira.

    “Between now and November, we will be launching mortgage guarantee company hopefully by the president to widen and bring us to the tail end of modern mortgage system in such a way that those mortgagees the institutions that are lending to our people can actually share risk so that more people will have access, to the housing fund,” he said.

    Also speaking at the event,  Director at NMRC, Mrs Chii Akporji said modern mortgage basically requires certain steps that state governments need to take in order to create the enabling environment for mortgages and housing investment to thrive.

  • World Bank okays $2.1b loan for Nigeria

    The World Bank says it has approved a loan of $2.1 billion for seven projects in Nigeria.

    Earlier in the year, top executives from the bank toured some projects in the country.

    The global lender, in a statement yesterday, explained that the seven projects cover areas such as nutrition, access to electricity, states’ fiscal transparency, polio eradication, women’s economic empowerment, public finance and national statistics and reducing vulnerability to soil erosion.

    The projects were approved by the International Development Association (IDA), the bank’s low-interest arm. A $7 million grant was also approved for nutrition.

    According to the Bretton Wood institution, more than half of the loan would be used to fund power, climate change projects and boost fiscal transparency.

    World Bank Country Director for Nigeria, Rachid Benmessaoud, said: “The Federal Government of Nigeria’s economic recovery and growth plan identifies human capital investment, restoring growth, and building a competitive economy as its key pillars.

    “The approved projects support the implementation of the government’s growth plan; the World Bank Group (WBG) has extended its country partnership strategy for Nigeria until June 30, 2019. During FY2018 and FY2019, the WBG support will focus on revenue diversification and mobilization, addressing the binding constraints for attracting private financing, and improving social services delivery for building the human capital needed for inclusive economic growth, in alignment with the economic recovery and growth plan.”

    The approved projects are: State Fiscal Transparency, Accountability and Sustainability Project – $750 million; Fiscal Governance and Institutions Project – $125 million; Nigeria Erosion and Watershed Management Project – $400 million; and Nigeria Electrification Project – $350 million. Others are Accelerating Nutrition Results in Nigeria Project – $7 million; Nigeria Polio Eradication Support Project – $150 million and Nigeria for Women Project – $100 million.

     

  • How Obaseki leverages World Bank partnership to transform Edo

    The Governor Godwin Obaseki administration in Edo State is riding on the crest of a robust, sustainable partnership with the World Bank to transform the state. On the strength of the strategic alliance, successes so far recorded in the execution of major infrastructural and social development projects may have positioned Edo as the model for development financing. CHIKODI OKEREOCHA looks at how the state’s adherence to the bank’s rules guiding project execution endeared her to the Breton Woods institution.

    edo State is clearly not the highest recipient of crude oil revenue in the oil-rich Niger Delta region. It is also behind Lagos and Kano states, for instance, in Internally Generated Revenue (IGR) figures. But by making transparency and accountability in the execution of developmental projects the hallmarks of the state’s administration, Edo State Governor Godwin Obaseki may have found an ingenious model for financing major infrastructural and social development projects via a strategic alliance with the World Bank.

    Already, successes so far recorded in project execution across the state, riding on the back of Obaseki’s brokered strategic alliance with the World Bank, are said to become the model for development financing at the national and sub-national levels. And this robust relationship with the Breton Woods institution and its development partners, which dates back nine years ago, according to observers, is hinged largely on the governor’s regime of strict adherence to rules and terms guiding the execution of developmental projects.

    Those conversant with the blossoming relationship also say that the Edo State Government’s credo on transparency, accountability and its preference for projects that can pull the largest number of people out of poverty, as against frivolous political projects, also warmed it to the heart of the World Bank, which has never hidden its commitment to supporting and encouraging countries and states whose financial books are open for transparency.

    According to World Bank’s Governance Global Practice, countries and states are encouraged “to build strong institutions and prosper by creating an environment that facilitates private sector growth, reduces poverty, delivers valuable services and earns the confidence of their citizens – a relationship of trust that is created when people participate in government decision-making and know their voices are heard.

    For many states and even countries, adhering to these World Bank terms is perhaps, a tall order. This is because project impacts must be measured, and contract terms such as cost cycle and funding are strictly adhered to, even as the financial books are open for transparency. These are governance principles that earned Edo the ears of the World Bank, which has been impressed with the number of people that have been moved out of poverty.

    The bank is no less impressed by the impacts of the state administration’s projects on the environment, the reduction in child and maternal mortality figures, gender mainstreaming amongst other considerations. The state has also been able to prudently apply its receipts, portfolios as well as technical support from the bank, which accounted in part, for the various erosion control and road projects.

    The result of the bank’s technical support has also been visible in the areas of sanitation, water, agriculture and policy reforms in institutions spread across the state, designed to engender inclusive growth. And these are critical issues that underlie the World Bank’s partnership with various states and countries across the world.

    Some of the Bank-sponsored projects that stand out in the state include  erosion control projects under the Nigeria Erosion and Watershed Project (NEWMAP), Edo State Employment and Expenditure for Result (SEEFOR), covering road projects; agriculture (FADAMMA); water, sanitation, and other forms of assistance, which the governor said have accelerated development in a number of rural communities in the state.

     

    The road to a model state

    During the visit of World Bank officials to the Government House, Benin City, the World Bank Executive Director for Angola, Nigeria and South Africa sub-groups, Ms Bongi Kunene, said that with the successes recorded in executing major infrastructural and social development projects in Edo State, the state has become a model for development financing at the sub-national level in developing countries.

    Ms Kunene said the Bretton Woods institution was impressed with the level of work done through its various projects as well as the partnership that birthed the Edo-Azura Power Project, for instance. She noted that Edo State was among the two sub-national governments that accessed its budget support instruments, stressing that the Bank was willing to “Partner the state on future projects, as long as the projects are in line with the Bank’s focus.”

    Ms Kunene specifically described the Edo-Azura Power Project as “Transformational.” “It gives us a scope of what we can do together. We are delighted to see solutions,” she declared. The Country Director of World Bank, Nigeria and Co-ordinating Director for Regional Integration Programme in West Africa, Rachid Benmessaoud, also earlier declared the Bank’s readiness to replicate the model and build more Azura projects in Nigeria and West Africa.

    Showcasing his administration’s achievements particularly in agriculture to his guests, Obaseki said one of his goals was to replace crude oil with oil palm. According to him, aggressive effort was being made to make Edo State the oil palm hub in the country and beyond.

    He, however, highlighted some of the challenges faced by his government, including illegal migration and human trafficking, explaining that 60 per cent of returnees to Nigeria are from Edo State.

    “Trafficking is high because the people are prepared to take the risk of embarking on the dangerous journey.

    “If they can turn such zeal to learning a skill and contribute their quota to development, the nation will be a better place for us all,” Obaseki said, pointing out, however, that in the state alone, about 3, 300 people have returned home after a painful experience in Libya and elsewhere.

    The governor added that his administration has been reintegrating them  into the society through a bouquet of initiatives including creating jobs, mentoring, technical and vocational education; skill development programme, amongst others.

     

    A partnership that works

    Tracing the relationship between him (from his days as the head of the planning team under former governor Adams Oshiomhole) Obaseki said: “We have gone through a learning curve with the World Bank, a journey which started over nine years ago and we want to drive this down to the local government councils so that every individual in the state will feel the impact of our government at all levels.”

    He explained that at the state level, several reforms of key institutions have changed work culture for better outcomes, adding: ”Our institutions are working at the state level and we want to work at strengthening the local councils.”

    The governor said his administration also plans to work with the World Bank in strengthening governance-support structures for optimal performance and deepen the deployment of Information and Communication Technology (ICT) in the state.

    He maintained that what the state needs from the World Bank now is ‘More Knowledge and less Cash’ so that the state will optimise her resources for the benefit of all. He noted that the several visits of the World Bank officials lend credence to his administration’s “commitment to bringing development to the people,

    One of such high-profile visits was the recent visit of 11 World Bank executives, who were in the state for on-the-spot assessment of the bank-sponsored developmental projects in the state. That was in May this year.

    The visit of the bank’s 11 wise men and women to Edo State, according to observer, showed its unprecedented interest in the Edo economy.

     

    The 11 Executive Directors – considered to be an interestingly large delegation – took time to assess the performance of the state on key development indicators.

     

     

     

     

    They also reviewed activities to determine the feasibility of extending more support to some of the programmes funded by the bank in the state.

    In the World Bank delegation were the Executive Directors for Switzerland, France, Italy, Peru, Germany, South Africa (representing Angola, Nigeria and South Africa), Burkina Faso (representing Francophone Sub-Saharan Africa), Zimbabwe (representing Anglophone Sub-Saharan Africa), United Kingdom and Indonesia.

    Encouraged by this and other visits by the Bank, Obaseki assured that with the support of development partners, Edo State under his watch places high premium on the sanctity and the integrity of partnerships, contracts as well as an open and transparent process.

    “Development partners like the World Bank operate in an environment where stakeholders abide by rules governing the partnerships, and in which input, output and outcomes are measured from time to time. The World Bank will not take you seriously if all you do is to award ‘political contracts,” Obaseki added.

    Indeed, the World Bank’s interest in the development of the state, which has heightened in recent times, was a reflection of the state’s commitment to inclusive governance, ending extreme poverty and boosting shared prosperity through the reform of critical public institutions that will support private sector growth.

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

  • Global economy to expand by 3.1%, says World Bank

    Global economic growth will remain robust at 3.1 per cent this year before slowing gradually over the next two years, the World Bank Group has said.

    The global lender explained that the growth will remain upbeat as advanced-economy growth decelerates and the recovery in major commodity-exporting emerging market and developing economies levels off.

    World Bank Group President Jim Yong Kim said: “If it can be sustained, the robust economic growth that we have seen this year could help lift millions out of poverty, particularly in the fast-growing economies of South Asia”.

    “But growth alone won’t be enough to address pockets of extreme poverty in other parts of the world. Policymakers need to focus on ways to support growth over the longer run—by boosting productivity and labor force participation—in order to accelerate progress toward ending poverty and boosting shared prosperity.”

    Activity in advanced economies is expected to grow 2.2 per cent in 2018 before easing to a two per cent rate of expansion next year, as central banks gradually remove monetary stimulus, the June 2018 Global Economic Prospects says.

    Growth in emerging market and developing economies overall is projected to strengthen to 4.5 per cent in 2018, before reaching 4.7 per cent in 2019 as the recovery in commodity exporters matures and commodity prices level off following this year’s increase.

  • World Bank Reps in Edo, meet Obaseki on strategies to transform LGs                                                              

    Still basking in the euphoria of the success of the Edo-Azura Power project and other World Bank-support projects in Edo State, Senior Director, Governance Global Practice, of the bank, Debbie Wentzel, arrived Benin City, the state capital on Friday, to consolidate the existing development-focused relationship between the bank and the Governor Godwin Obaseki administration.

    Welcoming his guests, Obaseki expressed his pleasure with the series of visits by senior officials of the World Bank to Benin City and their desire to be part of the ongoing transformation of the state.

    The governor said: “We have gone through a learning curve with the World Bank, a journey which started over nine years ago and we want to drive this down to the local government councils so that every individual in the state will feel the impact of our government at all levels.”

    He explained that at the state level, several reforms of key institutions have changed work culture for better outcomes, and added: “Our institutions are working at the state level and we want to work at strengthening the local councils.”

    Read Also:Obaseki, World Bank, step up consultation

    The governor said that his administration also plans to work with the World Bank in strengthening governance-support structures for optimal performance and deepen the deployment of Information and Communication Technology (ICT) in the state.

    He maintained that what the state needs from the World Bank now is ‘More Knowledge and less Cash’ so that the state will optimise her resources for the benefit of all.

    The World Bank Senior Director, Governance Global Practice, who led the bank’s delegation, said: “We are hoping to work with all the states in the country to support them improve their governance structures. We want to see how the states are working and how the World Bank can support them get better results.”

    Wentzel added: “We will be looking at building states’ transparency, economic recovery; revenue collection and creating an enabling environment where private sector can thrive better.”

    Other members of the delegation were; Practice Manager, Hisham Waly; Lead Project Specialist, Chief Bayo Awosemusi; Senior Public Sector Specialist, Ikechukwu Nweje; Senior Operations Officer, John Paul Ngebeh; and Procurement Specialist, Sunday Osoba.

    The meeting also featured sessions on the implementation of the State Employment and Expenditure For Results (SEEFOR) project which falls under Wentzel’s portfolio.

  • Obaseki, World Bank, step up consultation

    Edo State government will Friday, host the Senior Director, Governance Global Practice, at the World Bank, Debbie Wentzel, in continuation of the series of expert meetings and consultations between the World Bank and the state government to deepen the bank’s officials’ insights into the workings of the Obaseki-led government and pave way for a special support window from the bank.

    Wentzel who will be accompanied by the bank’s Practice Manager, Hisham Waly, will be hosted to sessions to be led by Governor Godwin Obaseki.

    The World Bank’s officials’ visit will build on previous discussions between Edo government and the Bretton Woods institution that has expressed its readiness to increase the tempo of its developmental activities in the state, after rating the Obaseki-led administration high on transparency, accountability and demonstrable commitment to the sanctity and integrity of development-based partnership.

    According to the bank, “the meetings will provide the platform for the governor to share his perspectives on governance issues in Nigeria in general and Edo State in particular with a view to identifying possible areas of intervention by the bank, and to also discuss progress on the implementation of the State Employment and Expenditure For Results (SEEFOR) project which falls under Wentzel’s portfolio.”

    Read Also:Obaseki relishes Edo’s 10-year partnership with World Bank

    The meetings will be followed by “visits to some project sites as well as interactive session with beneficiaries of the projects across sub-components on-site and their representatives.”

    The Senior Director’s one-day visit is coming one week after the World Bank Country Director for Nigeria, Mr. Rachid Benmassoud, paid a 2-day visit to Edo State.

    Benmassoud was accompanied by senior specialists in various sector areas, such as institutional reforms, public works, gender, agriculture, water and sanitation.

    Development experts who have been following the World Bank’s relationship with the Obaseki administration say Benmassoud’s visit was predicated on Edo State government’s impressive deployment of funding, technical and other assistance of the World Bank, which was attested to recently, by 11 Executive Directors of the World Bank, who were in the state recently, for on-the-spot assessment of the bank-sponsored developmental projects in the state.

    Obaseki said Debbie Wentzel’s visit will deepen talks and insights of the bank on the developmental aspiration of Edo State, to enable the bank customise its developmental products to suit the peculiar needs of the state.

    He assured the state government would expand ongoing development conversation with the bank on support for the state’s education and health sectors; rural development, job creation, gender issues and infrastructural development amongst others.

    “The several visits of the World Bank officials lend credence to our commitment to bringing development to our people in the state, with the support of our partners,” the governor said.

    He maintained that Edo State under his watch places high premium on the sanctity and the integrity of partnerships, contracts as well as an open and transparent process.

    “Development partners like the World Bank, operate in an environment where stakeholders abide by rules governing the partnerships, and in which input, output and outcomes are measured from time to time. The World Bank will not take you seriously if all you do is to award ‘political contracts,” he added.

    Some of the bank-sponsored projects such as erosion control projects under the Nigeria Erosion and Watershed Project (NEWMAP), Edo State Employment and Expenditure for Result (SEEFOR), covering road projects; agriculture (FADAMMA); water, sanitation and review policy.

  • World Bank: $160b lost to men, women earnings gap

    The World Bank has disclosed that countries are losing $160 trillion in wealth due to gaps in lifetime earnings between men and women.

    The figure, the global lender said in a report relased yesterday, amounts to an average of $23,620 per person in the 141 countries studied by the World Bank Group.

    The study, Unrealised Potential: The high cost of gender inequality in earnings, examines the economic cost of gender inequality in lost human capital. It comes before the meeting of the G7, currently headed by Canada, which committed to ensuring gender equality and women’s empowerment are integrated across all G7 themes, activities and initiatives during its presidency.

    “The world is essentially leaving $160 trillion on the table when we neglect inequality in earnings over the lifetime between men and women,” World Bank CEO Kristalina Georgieva said.

    “This is a stark reminder that world leaders need to act now and act decisively to invest in policies that promote more and better jobs for women and equal pay at work.

  • World Bank backs Obaseki’s devt drive

    …Urges other states to replicate Edo blueprint

     

    The World Bank has thrown its weight behind the ongoing developmental drive of the Godwin Obaseki-led administration in Edo State, urging other states in the country to replicate the Edo model.

    Country Director of World Bank, Nigeria and Co-ordinating Director for Regional Integration Programme in West Africa, Rachid Benmessaoud, who led the bank’s delegation on a visit to the governor at the Government House, Edo State, on Thursday, said: “Obaseki has established a flagship effort that has resulted in the Edo Azura Power Plant where he brought the World Bank Group together and we are ready to replicate the model and build more Azura projects in Nigeria and West Africa.”

    He was accompanied on the visit by the Country Manager, International Finance Corporation (IFC), Nigeria Office, Eme Essien; Programme  Leader, Muna Salih Meky; Programme Leader, Kofi Nouve; Lead Procurement Specialist, Bayo Awosemusi; Senior Private Sector Specialist, Feyi Boroffice; Senior Agriculture Economist, Adetunji A. Oredipe; and Senior Operations Officer, John Paul Ngebeh, amongst others.

    Benmessaoud explained that the strong partnership between Edo State Government and the World Bank is highly cherished by his institution, and commended the  insistence of the Obaseki administration on transparency and accountability.

    Read Also: Obaseki rolls out investment windows for agribusiness investors

    “I want to assure the governor that the World Bank will help in addressing the human capital needs by pulling her resources together to support the Edo State government,” he pledged.

    In his response, Obaseki expressed the gratitude of the Edo State government to the World Bank for finding the state a worthy partner in their commitment to bring development to all Edo people and residents.

    He showcased the achievements of the government in agriculture to his guests and said that one of his goals is to replace crude oil with oil palm, as aggressive effort is being made to make Edo State the oil palm hub in the country and beyond.

    He highlighted some of the challenges faced by his government, including illegal migration and human trafficking, explaining that 60 per cent of returnees to Nigeria are from Edo State.

    According to him, “Trafficking is high because the people are very aspirational and are prepared to take the risk of embarking on the dangerous journey. If they can turn such zeal to learning a skill and contribute their quota to development, the nation will be a better place for us all”.

    Obaseki further said that in the state alone, about 3,300 people have returned home after a painful experience in Libya and elsewhere and added that his administration has been reintegrating them  into the society through a bouquet of initiatives including creating jobs, mentoring, technical and vocational education; skill development programme, amongst others.

    Benmassoud’s visit follows the visit of 11 Executive Directors of the Bretton Woods institution, who were in the state for on-the-spot assessment of the bank-sponsored developmental projects in the state, recently.

     

  • World Bank visit: Obaseki anticipates more project funding partnerships

    The Governor of Edo State, Mr Godwin Obaseki, has said that with the success of the visit of 10 Executive Directors of the World Bank to the state, his administration anticipates stronger and extensive partnership with the bank on development funding to accelerate growth in the state.

    Obaseki disclosed that, “the visit was a huge success. The World Bank Executive Directors saw the results of their partnership with Edo State across the broad spectrum of our partnership.

    “They took their time to appraise what they met on ground and it is safe to say that our relationship, which is anchored on development, has been further strengthened and more support is on the way.”

    The governor who hosted his guests to launch after a tour of the Edo-Azura 450 Power project, took the World Bank Executive Directors through the various social development and agricultural projects, including the Nigerian Erosion and Watershed Management Project (NEWMAP); Community and Social Development Programme (CSDP), FDAMA among others.

    Read Also: Obaseki, World Bank Directors, inspect completed Azura-Edo power plant

    He noted that “Edo State’s commitment to best practice in projects that have rekindled economic growth, empowering youths and women; reforms in the public sector and massive investment in infrastructure have earned her a place of pride in the bank’s relationship with development partners.”

    Obaseki said with the Edo-Azura power plant coming on stream, “we need to extend the benefits of this investment. Now that we have power, what are going to do with it. Power is the key to industrialisation and development. The next set of projects are those that have to rely on this key infrastructure we have created.”

    He added that “we will be looking at the Benin Industrial Park, building infrastructure to encourage and support manufacturers to come in. We are looking at innovation hubs; we want to use the factor an advantage of the 24/7 electricity to encourage technology groups and companies to be located in Edo State.”

    The Executive Director, Angola, Nigeria and South Africa sub-group, World Bank, Ms. Bongi Kunene, said that the institution was open to partnerships as long as they were in line with its focus.

    She also described the Azura-Edo power plant as a transformational project, which had the capacity to provide solutions.

    “The project is transformational. It gives us a scope of what we can do together. We are delighted to see solutions. We will want to commit ourselves to projects that make sense and are in line with our focus,” she said.

     

  • World Bank: coverage gaps in social safety nets inadequate 

    World Bank has faulted an estimated 36 per cent of the very poor, or 50 million people, that escaped extreme poverty because of social safety nets.

    The global lender said despite the increased adoption of safety net programmes by countries in recent years, global coverage of poor and vulnerable people remains inadequate. About 2.5 billion people worldwide are covered by a social safety net, of which 650 million are in the poorest 20 percent.

    However, only one out of five persons living in a low-income country is covered by a social safety net. Furthermore, countries at high risk of natural disasters often have lower safety net coverage.

    It said the statistics provide clear evidence that social safety net programmes are making a substantial impact in the global fight against poverty. It said the impact of social safety nets on poverty is measured based on available household data by comparing the welfare of the safety nets beneficiaries to what it would have been had they not received such support.

    Data from the State of the Social Safety Nets 2018 report shows that safety nets—which include cash, in-kind transfers, social pensions, public works, and school feeding programmes targeted to poor and vulnerable households—also lower inequality, and reduce the poverty gap by about 45 per cent, even if they do not emerge from poverty. These positive effects of safety net transfers hold true for low and middle-income countries alike.