World Bank Group to Mobilise $5.79bn in Private Investment for Nigeria in 2026

The World Bank Group has announced plans to mobilise up to $5.79 billion in private sector financing for Nigeria in the 2026 financial year, targeting infrastructure development, agricultural productivity and support for small businesses.

The financing initiative is expected to stimulate economic growth, create employment opportunities and improve access to essential services, with particular emphasis on women, young people and small-scale entrepreneurs.

In a statement released on Monday in Bangkok, Thailand, the World Bank Group outlined its strategy for attracting private investment through policy reforms, commercial financing, public-private partnerships and investment guarantees.

According to the institution, the initiative involves coordinated efforts by its agencies to strengthen investor confidence, reduce financial risks and encourage private sector participation in critical areas of Nigeria's economy.

The World Bank will support policy reforms and development projects, while the International Finance Corporation (IFC) will structure investments and mobilise private investors.

The Multilateral Investment Guarantee Agency (MIGA) will provide guarantees designed to reduce investment risks and encourage greater participation from international and domestic investors.

The group noted that Nigeria had introduced several economic reforms since mid-2023, including measures to improve foreign exchange management, strengthen public finances and create a more predictable investment environment.

It explained that the reforms, supported partly through the World Bank's RESET and NAIJA development policy financing programmes, were intended to strengthen investor confidence, deepen capital markets and expand private sector participation in strategic industries.

Digital Infrastructure to Attract $1.1bn by 2030

A major component of the investment programme is the Building Resilient Digital Infrastructure for Growth (BRIDGE) Project, which is expected to attract at least $156 million in private equity during its initial investor selection round.

The World Bank Group said subsequent investment rounds could mobilise up to $1.1 billion by 2030.

The project aims to establish a nationwide, open-access fibre-optic network through a public-private partnership, expanding affordable broadband connectivity to an additional 58 million Nigerians by 2030.

It is also expected to connect millions of households, approximately 38,800 public schools, 16,900 healthcare facilities and 3,400 local government offices to high-speed internet services.

According to the group, the expansion of digital infrastructure will improve access to education, healthcare, public administration and business opportunities, particularly in underserved communities.

The initiative is also designed to strengthen Nigeria's digital economy by reducing connectivity costs and creating opportunities for technology-driven businesses.

Agriculture to Benefit from Increased Private Investment

In the agricultural sector, the World Bank Group identified the Agricultural Value Chains for Growth (AGROW) Project as another major initiative aimed at improving productivity and strengthening food security.

The programme will target one million smallholder farmers, including women and young people, by improving access to quality seeds, fertiliser, digital agricultural services and markets.

According to the institution, AGROW is expected to mobilise approximately $220 million in private investment from agribusiness companies and a further $22 million from certified seed producers.

The investments are intended to improve agricultural yields, strengthen value chains and increase farmers' access to essential production resources.

The group also disclosed that the IFC had separately supported the mobilisation of $1.02 billion for Dangote Industries Limited and $282.5 million for Indorama Fertiliser to strengthen domestic fertiliser production.

The two projects have a combined annual production capacity of 6.8 million metric tonnes and are expected to improve access to fertiliser for more than 10 million smallholder farmers.

The World Bank Group said the investments would contribute to increased agricultural production, improved food availability and stronger domestic supply chains.

It added that expanding local fertiliser production would support efforts to improve agricultural productivity and reduce constraints affecting smallholder farmers.

Small Businesses Targeted for $1.89bn Financing

The World Bank Group also outlined plans to expand financial support for micro, small and medium-sized enterprises (MSMEs) through the Fostering Inclusive Finance for MSMEs in Nigeria (FINCLUDE) programme.

The initiative aims to improve access to affordable financing for more than 250,000 small businesses across the country.

According to the group, approximately 30 per cent of the financing will be directed towards women-led enterprises, reflecting efforts to strengthen financial inclusion and promote women's economic participation.

A $500 million financing package from the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA) will provide funding and risk-sharing instruments to attract additional private capital.

The programme is expected to mobilise nearly $1.89 billion in private financing and support approximately 850,000 direct and indirect jobs.

The institution explained that the financing arrangements would help businesses overcome funding constraints, increase productive capacity and create employment opportunities.

It also noted that improving access to finance would enable small enterprises to contribute more effectively to domestic production and economic development.

Telecommunications Investment to Improve Connectivity

In the telecommunications sector, the World Bank Group disclosed that the IFC had served as an anchor investor in a $1.2 billion bond issuance by IHS Towers.

The investment helped mobilise more than $1.1 billion from private investors to support telecommunications infrastructure development.

According to the group, the financing is expected to enable mobile network operators to expand their services at lower costs through infrastructure sharing.

The initiative will also support improvements in network coverage, strengthen digital connectivity and create opportunities for businesses and consumers to access telecommunications services.

The World Bank Group said telecommunications infrastructure remained critical to economic development, particularly as more businesses, financial institutions and public services increasingly depend on digital technology.

Private Capital Central to Nigeria's Economic Growth

The World Bank Group emphasised that its coordinated financing approach was designed to use public resources strategically to attract substantially larger volumes of private investment.

It explained that combining policy reforms, development financing, investment guarantees and commercial capital would help reduce risks and encourage long-term investment in key economic sectors.

The institution maintained that stronger private sector participation would be essential to addressing infrastructure deficiencies, improving productivity and expanding employment opportunities across Nigeria.

It added that investments in agriculture, telecommunications, digital infrastructure and small businesses could strengthen economic resilience and support more inclusive development.

The World Bank Group said the proposed mobilisation of up to $5.79 billion in private financing would contribute to job creation, improve access to essential services and support Nigeria's transition towards sustained private sector-led economic growth.

It reiterated its commitment to working with the Nigerian government, investors and development partners to strengthen the investment environment and ensure that economic reforms deliver measurable benefits to businesses and households.