In it’s drive to accelerate SME growth, the Nigerian government has secured another $750 million loan from the World Bank
The facility is in line with Nigeria’s plan to lift over 35 million people out of poverty by 2025
But the bank warns that the country’s ability to attract local and foreign inventors is minimal compared to other African countries.
The bank disclosed this in a statement in a report titled ‘improving the Business Enabling Environment in Nigeria to Create Jobs and Boost Inclusive Growth.
The facility came from the International Development Association credit to support the Nigeria State Action on Business Enabling Reforms (SABER) programme for results.
The programme is in line with Nigeria’s National Development Plan (NDP), which sets an ambitious strategy for sustainable private-sector-led economic growth meant to create 21 million full-time jobs and raise 35 million people out of poverty by 2025.
The approval of the facility by the multilateral organisation came on the day the Nigerian government said it was thinking of further fiscal policy actions in support of Micro, Small, and Medium Scale Enterprises (MSMEs) as work goes on in preparation for the Finance Act of 2022 for the 2023 fiscal year.
The World Bank has made progress in pushing changes to dismantle barriers in the business climate, primarily through efforts led by the Presidential Enabling Business Environment Council (PEBEC).
The World Bank cautioned Nigeria that, compared to its counterparts, the country’s ability to woo local and foreign investments is minimal.
The recent World Bank loan came as Nigeria’s total debt stock exceeds $100 billion (N45.2 trillion), according to the Debt Management Office.
According to reports, Nigeria’s total public debt stock rose from N39.56 trillion in December 2021 to N41.60 trillion, $100.07 billion in the first three months of 2022, January to March, the Debt Management Office (DMO) revealed.