The World Bank has disbursed an $800 million palliative loan to assist poor and vulnerable households affected by recent government policies, such as the removal of fuel subsidies. According to the World Bank’s restructuring paper, about three million households have benefitted from the loan, with 700 thousand from rural areas and 2.5 million from urban areas.
The Federal Government has requested an 18-month extension for the project, aiming to enhance the efficacy of the National Social Safety Net Program-Scale Up. The initiative aims to bolster social safety net programs amidst rising inflation and economic challenges, with about 30 million beneficiaries covered so far.
The loan will fund a monthly cash transfer program for poor and vulnerable Nigerians hit hard by recent policies. Despite an abrupt halt due to alleged malfeasance, the government seeks to restart the cash transfer program, proposing changes in project leadership and emphasizing the need for continued support amid ongoing battles with high inflation.
Source: Punch