The World Bank is expected to approve a $500 million loan for Nigeria to enhance rural access and agricultural marketing under the Rural Access and Agricultural Marketing Project Scale Up (RAAMP-SU). The project aims to improve connectivity between rural communities and markets, schools, and healthcare facilities while fostering social cohesion. Participating states must establish fully operational Roads Funds and Roads Agencies to qualify for the program, ensuring efficient infrastructure maintenance and inclusivity, particularly for women in the transport sector.
This initiative marks the 10th loan project from the World Bank under President Bola Tinubu’s administration, which has secured $6.45 billion in loans over 16 months. The RAAMP-SU funds will be distributed competitively, prioritizing socioeconomic impact, design readiness, and state commitment to co-financing and maintenance. Resettlement and compensation plans are required for project activities affecting communities.
Despite the developmental goals of these loans, concerns over Nigeria’s growing debt profile persist. With over $24 billion approved in World Bank loans in five years, questions arise about the sustainability of borrowing and its long-term economic impact. As the Federal Government continues to secure international funding, balancing debt obligations with developmental outcomes remains a critical challenge.
