The World Bank has approved the disbursement of a $1.5 billion loan to Nigeria to support the country’s economic reforms, including the removal of fuel subsidies and the implementation of tax reforms. This loan is part of the World Bank’s ongoing assistance to help Nigeria address fiscal challenges and boost economic stability.
The funds will be used to offset the costs of transitioning away from fuel subsidies and support the government’s efforts to enhance its tax collection system, with the aim of increasing revenue and reducing the fiscal deficit. The World Bank’s move comes as Nigeria grapples with the economic impact of subsidy removal and seeks to improve its financial management and sustainability.
The loan is expected to assist in cushioning the economic impact of these reforms, which have sparked widespread public concern, and help the Nigerian government implement long-term strategies for economic growth and stability.
