Nigeria is engaging with the World Bank to secure a fresh $300 million Loan to strengthen the country’s health Security infrastructure. The proposed funding, currently under review, is expected to be executed by the Nigeria Centre for Disease Control (NCDC), with the Federal Ministry of Finance acting as the official borrower on behalf of the government. According to the World Bank’s disclosure, the initiative is designed to enhance regional collaboration and strengthen the country’s medical system capabilities in preventing, detecting, and responding to health emergencies.
The project is in its approval stage, with an official disclosure date set for February 6, 2025. Following necessary assessments, the World Bank board is expected to approve the request on July 30, 2025, while appraisal is scheduled for April 14, 2025. Therefore, full implementation will commence in the 2026 fiscal year. The Nigeria Health Security Programme (HeSP), under which the loan is categorised, aligns with the government’s strategy to improve disease surveillance, diagnostic capabilities, emergency response, and laboratory networks nationwide.
Health security initiative aligns with broader national efforts.
This initiative continues Nigeria’s commitment to strengthening public medical infrastructure, particularly in response to lessons learned from past crises, including the COVID-19 pandemic. The World Bank has emphasised that the loan will expand molecular laboratory capacity, upgrade primary medical care centres, establish emergency operation centres, and construct warehouses for medical supplies. Additional project components include deploying mobile laboratories and installing essential water, sanitation, and hygiene facilities. Also, the project will integrate Solar Energy systems to enhance the Sustainability of medical Infrastructure improvements.
While the project’s total cost remains undetermined, the World Bank has pledged an initial $300 million investment. This financial injection is expected to boost the country’s preparedness for future pandemics and improve its ability to respond more effectively to public wellness threats. Despite its promising outlook, the project has been classified as a high-priority public medical intervention with substantial environmental and social risks. Experts have identified key concerns, including increased medical waste, occupational hazards for medical professionals, and heightened energy and water demands.
Potential risks and challenges associated with the loan.
Additionally, implementing health interventions in conflict-prone regions may present further operational challenges. In a broader context, Nigeria continues to rely on external funding to support critical sectors, including healthcare. This latest loan proposal comes when the country engages the World Bank for two additional loans totalling $580 million. These funds are earmarked for the Accelerating Nutrition Results in Nigeria 2.0 program and the HOPE for Quality Basic Education for All initiative. The approvals for these loans are expected in March 2025, with the Education program receiving a commitment of $552.18 million, including a $500 million contribution from the World Bank and an additional $54 million from other sources.
Furthermore, the nutrition-focused program is expected to receive $80 million to address food Insecurity and Malnutrition in the country. Meanwhile, under the current administration, Nigeria has secured about $6.95 billion in World Bank loans over 18 months. The country has obtained at least ten separate loan approvals from the financial institution since the administration took office. According to data from the Debt Management Office (DMO), Nigeria’s total External Debt currently stands at $17.32 billion, with the bulk of this amount—$16.84 billion—owed to the International Development Association, a subsidiary of the World Bank. The International Bank for Reconstruction and Development, another arm of the financial institution, is owed $485.08 million.
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In particular, according to recent data, the region’s public debt includes both domestic and external debt. The Debt Management Office (DMO) reports on the country’s debt in local currency and US dollars. The National Bureau of Statistics (NBS) verifies and validates the DMO’s data. In Q1 2024, the nation’s public debt was ₦121.67 trillion (US$91.46 billion). In Q4 2023, the public debt was ₦97.34 trillion (US$108.23 billion). Lastly, in Q2 2023, Nigeria’s public debt was ₦38 trillion (US$113.42 billion).