By Chijioke Courage Nkemjika
Nigeria Receives Additional $215m from World Bank for Palliatives
The World Bank has disbursed an additional $215 million to Nigeria under the $800 million National Social Safety Net Programme–Scale Up, bringing total releases so far to $530 million, The PUNCH has confirmed.
A check on the World Bank’s website on Thursday showed that disbursements rose from $315 million in 2023 to $530 million in 2025. While the exact date of the new disbursement was not stated, the update suggests the funds were released recently, possibly in April.
The $800 million programme, approved in December 2021, is designed to support Nigeria’s poorest citizens through conditional cash transfers. It aims to reduce the impact of economic shocks, including the fuel subsidy removal.
Initially, households were to receive N5,000 monthly. However, this was increased to N25,000 for three months under a revised plan by the Tinubu administration, targeting 15 million households nationwide.
Records show that in October and November 2023, Nigeria received $300 million and $15 million respectively under the same programme. With the fresh $215 million, total disbursement now stands at $530 million, leaving about $226.73 million undrawn—roughly 66.25 per cent of the total loan has now been disbursed.
Despite receiving approval in 2021, the programme’s rollout faced long delays. These delays, lasting nearly 17 months, led Nigeria to incur interest charges of over $6.18 million on the undisbursed funds.
According to the World Bank, Nigeria made interest payments on several occasions under the financing agreement known as IDA-70190. On January 30, 2024, the country paid three separate charges totaling over $1.81 million. On July 15, 2024, four more payments were made, totaling over $5.36 million.
In total, Nigeria paid about $6.18 million in interest, even as large portions of the loan remained untouched.
Part of the delays were linked to administrative issues, political changes, and scandals within the Ministry of Humanitarian Affairs and Poverty Alleviation, the agency overseeing the programme.
In December 2023, the EFCC uncovered an alleged N37.1 billion fraud linked to former minister Sadiya Umar-Farouq. Investigators found that funds meant for poor Nigerians were allegedly funneled through contractors and third parties. She was later questioned and detained in January 2024.
Her successor, Dr. Betta Edu, was also suspended after authorising a controversial transfer of N585 million to a private account. The Accountant-General’s office flagged the transaction, citing violations of financial regulations.
President Bola Tinubu suspended Edu and ordered a full investigation. The EFCC later confirmed recovering N32.7 billion and $445,000 connected to the scandal.
Halima Shehu, head of the National Social Investment Programme Agency at the time, was also arrested for allegedly moving N44 billion to multiple suspicious accounts.
In response, Tinubu appointed the Minister of Finance, Wale Edun, to lead a panel to reform the structure of Nigeria’s social intervention programmes. The aim is to improve transparency, efficiency, and accountability.
To tighten controls, the government also mandated that all beneficiaries register with Bank Verification Numbers and National Identity Numbers, in partnership with the Central Bank of Nigeria and the National Identity Management Commission.
Despite these reforms, the World Bank has rated Nigeria’s progress on the $800 million programme as only “moderately satisfactory.”
A review of the Bank’s latest status report, dated January 29, 2025, shows the same rating for both overall implementation and progress toward the programme’s goals. However, financial management, procurement, and monitoring were flagged as weak areas, earning a “moderately unsatisfactory” score.
The project is currently scheduled to end on December 31, 2025, unless Nigeria requests an extension.
Before this scale-up phase, the initial National Social Safety Nets Project, approved in 2016 with $500 million, also faced major challenges. Though aimed at supporting the most vulnerable households, it was dogged by allegations of mismanagement.
A 2020 review by the World Bank flagged serious issues in procurement processes within the National Cash Transfer Office (NCTO) and the National Social Safety Nets Coordinating Office (NASSCO). While a corrective action plan was created, implementation and oversight issues continued into the current scale-up.
NASSCO manages Nigeria’s National Social Register, identifying poor households eligible for support. The NCTO oversees the payment process and ensures complaints are handled properly.
Meanwhile, in January 2025, the World Bank announced the debarment of two Nigerian companies—Viva Atlantic Limited and Technology House Limited—as well as their CEO, Mr. Norman Bwuruk Didam. They were banned from participating in World Bank projects for 30 months due to corrupt practices related to the programme.
Investigations found they had falsified documents, hid conflicts of interest, and offered bribes to officials. Earlier, in March 2024, the Bank also debarred a consultant, Mr. Akuboh Victor Uneojo, for corrupt actions involving contract manipulation. He admitted to making illegal payments to influence officials during the earlier phase of the programme.
These cases have further highlighted the persistent corruption challenges surrounding Nigeria’s social safety net projects.
By Chijioke Courage Nkemjika
See also: Nigeria’s Green Opportunity: Leading Africa into the Expanding Carbon Market
