World Bank Approves $750 Million Loan for Nigeria’s Digital and Health Expansion

The World Bank has approved two major loans totaling $750 million for Nigeria, aimed at boosting the country’s digital economy and strengthening its public health system. The funding package, scheduled for final approval on September 30, 2025, is expected to accelerate broadband expansion, enhance pandemic preparedness, and improve healthcare infrastructure nationwide.

Details of the Funding

• $500 Million – Building Resilient Digital Infrastructure for Growth in Nigeria (BRIDGE) Project
• $250 Million – Health Security Programme in Western and Central Africa, Nigeria – Phase II

Nigeria’s Digital Transformation: The BRIDGE Project

The BRIDGE initiative, spearheaded by the Federal Ministry of Communications, Innovation, and Digital Economy, is designed to expand broadband internet access across underserved communities. With an estimated cost of $1.6 billion, the project will be financed through a combination of World Bank concessional credit and private sector investments.

Communications and Digital Economy Minister, Dr. Bosun Tijani, described the initiative as “the most ambitious and foundational digital infrastructure project in Nigeria’s history.”

According to him, the network expansion plan will:

• Increase fibre-optic coverage from 35,000 km to over 125,000 km
• Establish seven national fibre rings
• Develop 37 city-level loops and 77 regional networks
• Build multiple edge data centers across the country

The rollout will be executed through a Special Purpose Vehicle (SPV) in which the Federal Government will retain 51% equity stake, ensuring state participation and oversight.

Strengthening Nigeria’s Health Security

The second loan facility, worth $250 million, will be managed by the Nigeria Centre for Disease Control and Prevention (NCDC) in partnership with the Federal Ministry of Finance.

The program focuses on:

• Expanding disease surveillance systems
• Enhancing emergency response capacity
• Preventing and managing future pandemics and health crises

The World Bank emphasized that the initiative will strengthen regional collaboration across West and Central Africa, drawing lessons from COVID-19 and other public health emergencies.

Nigeria’s Rising Debt and Concerns

Nigeria has witnessed increased international funding in recent years, with the World Bank approving $8.4 billion in loans between June 2023 and August 2025 for projects in health, energy, education, governance, and infrastructure.

However, economists are divided over the sustainability of continuous borrowing.

• Adewale Abimbola, a Lagos-based financial analyst, argued that concessional borrowing tied to revenue-generating projects is beneficial, provided there is accountability in execution.
• Dr. Aliyu Ilias, CEO of CSA Advisory, raised concerns over Nigeria’s rising debt stock, which has surged from ₦87 trillion in 2023 to about ₦149 trillion in 2025, with projections that it may reach ₦180 trillion.

According to the Debt Management Office (DMO), Nigeria currently owes the World Bank $18.23 billion, accounting for nearly 40% of its total external debt and over 81% of its multilateral debt profile.

Balancing Growth and Debt Sustainability

While the loans are expected to improve digital inclusion, healthcare delivery, and economic resilience, experts stress the importance of transparency and efficient project execution. Without strict accountability, rising debt obligations may undermine fiscal stability and limit resources for other essential public services.