Nigeria May Reject World Bank Loans Over Delays

Dr. Shamseldeen Ogunjimi, the Accountant General of the Federation, warned that Nigeria might reject World Bank loans if delays in approval and disbursement continue. During a press statement issued on Friday in Abuja, Ogunjimi expressed concerns that the prolonged bureaucratic processes could undermine Nigeria's willingness to proceed with loan arrangements.

He noted that if loan requests are not granted approval within six months, the Nigerian government may no longer honor such arrangements. Ogunjimi urged the World Bank to expedite the approval and disbursement of project funds to support Nigeria's priorities.

He highlighted that the loans carry repayment obligations, making it crucial for the disbursement process to align with project schedules and fiscal plans. The World Bank delegation, led by Mr. Treed Lane, acknowledged Ogunjimi's recent appointment and emphasized the importance of sustaining digitalization efforts in public financial management.

The World Bank has approved loans worth $2 billion for Nigeria in 2024, but disbursement has been delayed for nearly a year.