The World Bank Board is expected to decide today on a $500 million loan to Nigeria aimed at enhancing rural infrastructure and improving agricultural marketing across the country.
The loan, under the Rural Access and Agricultural Marketing Project—Scale Up (RAAMP-SU), is designed to connect rural communities to broader markets, providing easier access to agricultural hubs, schools, and hospitals. This initiative is also intended to promote social and economic integration among rural populations.
To qualify for participation, states must establish functional Roads Funds and Roads Agencies, complete with appointed boards and staff, and ensure funding for administrative costs in their budgets. The World Bank’s project document also emphasizes the importance of including women in the transport sector through Rural Access Roads Agencies (RARAs).
Funds will be allocated to participating states on a competitive basis, with a selection process considering socioeconomic factors, project readiness, and states’ commitment to infrastructure maintenance. Additionally, states must implement resettlement and compensation plans for any activities that require relocation of affected communities.
If approved, this loan will be the 10th obtained from the World Bank during President Bola Tinubu’s administration. Since taking office, his government has secured $6.45 billion in World Bank loans, including $1.57 billion recently approved for various projects.
This project underscores the Federal Government’s push for infrastructural development to foster food security and rural growth, reflecting its continued reliance on international financial institutions for development financing.
The final decision on the loan is expected to be announced later today.
