On June 24, 2025, the World Bank approved an additional $65 million credit for Nigeria’s Sustainable Procurement, Environmental, and Social Standards Enhancement (SPESSE) project, raising the total funding to $145 million. This decision, finalized ahead of the anticipated June 30 timeline, marks a significant step in bolstering Nigeria’s public sector reforms, with the project now fully active, according to World Bank records.
Launched in 2021 with an initial $80 million loan from February 2020, the SPESSE initiative aims to strengthen Nigeria’s procurement systems while ensuring adherence to environmental and social standards in both public and private sectors. The new funds will expand critical efforts, including the rollout of the Electronic Government Procurement (e-GP) system, designed to enhance transparency, streamline processes, and optimize public fund utilization.
A World Bank document stated that the additional financing will uphold the original project development objective, focusing on building sustainable capacity for managing procurement and environmental-social standards. The funds will also support certification programs to professionalize Nigeria’s procurement workforce. While over 33,000 individuals have already been trained, government estimates suggest an additional 25,000 public officials still need training.
The SPESSE project has been praised for curbing inefficiencies and corruption in public procurement while fostering inclusive practices that support small and medium-sized enterprises, particularly those led by women. The original project is set to conclude on June 30, 2026, but the additional financing extends the initiative’s timeline to June 30, 2029, allowing for sustained impact.
This funding aligns with Nigeria’s broader public sector reform goals, addressing fiscal challenges and improving service delivery through enhanced institutional capacity. The World Bank’s support comes as Nigeria’s debt to the institution reached $18.23 billion by March 2025, including $16.99 billion from the International Development Association and $1.24 billion from the International Bank for Reconstruction and Development, according to the Debt Management Office.
The SPESSE project remains a cornerstone of Nigeria’s efforts to modernize its procurement framework, ensuring greater accountability and efficiency in public spending while promoting sustainable economic growth.
