By Erewunmi Peace

The Federal Government is in advanced discussions with the World Bank over a proposed $1.25 billion loan facility aimed at supporting economic reforms and development programmes in Nigeria.

According to reports, the proposed funding package is expected to focus on key sectors including infrastructure development, job creation, electricity expansion, digital access, and investment support initiatives.

The loan arrangement is reportedly part of ongoing collaborations between Nigeria and the World Bank to strengthen economic growth and improve business competitiveness across the country.

Sources familiar with the discussions indicated that the proposed facility is currently undergoing internal approval processes within the World Bank system.

Economic analysts say the funding could support ongoing reform programmes targeted at stabilising the economy and attracting more investments into critical sectors.

However, concerns have also been raised by some experts regarding Nigeria’s growing external debt profile and the long-term implications of increased borrowing.

The Federal Government has maintained that international financial partnerships remain important for supporting development projects and economic recovery efforts.

Further details are expected as negotiations and approval processes continue between both parties.