World Bank limits Instagram user feedback amid public outcry over Nigeria's $1.25 billion loan

The World Bank has taken the step of limiting comments on its Instagram page, a move that comes in response to a torrent of negative reactions from Nigerians who are opposed to the Federal Government's plans to take out a new $1.25bn loan, which is being pursued under the leadership of President Bola Tinubu.

n

This backlash is unfolding against the backdrop of an exclusive report by The PUNCH, which revealed that the Federal Government is engaged in advanced talks with the World Bank regarding a proposed facility aimed at supporting economic reforms, expanding electricity access, developing digital infrastructure, and promoting initiatives in agriculture and job creation.

n

The proposed loan, known as Nigeria Actions for Investment and Jobs Acceleration, is slated to be presented for approval on June 26, 2026, a date that falls approximately six months and 21 days before the presidential election scheduled for January 16, 2027, according to the revised timetable released by the Independent National Electoral Commission.

n

If the loan is approved, it will become the second-largest single facility secured by the Federal Government under President Bola Tinubu, surpassed only by the $1.5bn Reforms for Economic Stabilisation to Enable Transformation Development Policy Financing that was approved in June 2024.

n

At the current exchange rate of N1,361.4 to the dollar, the proposed $1.25bn facility is equivalent to approximately N1.70tn, a figure that highlights the significant scale of external financing being sought by the Federal Government as it pursues economic reforms.

n

The PUNCH has observed that numerous Nigerians have been voicing their opposition to the loan on the World Bank's social media platforms, with many calling on the institution to halt further lending to Nigeria due to concerns about the country's rising debt levels and worsening economic hardship.

n

A notable surge in engagement has been recorded on the World Bank's Instagram page, particularly in relation to online discussions surrounding the proposed loan request, prompting the organisation to restrict its comment section in an apparent bid to limit the influx of reactions related to Nigeria's planned borrowing.

n

This latest borrowing move has attracted growing scrutiny of Nigeria's increasing reliance on multilateral financing under the leadership of President Tinubu, with findings indicating that the World Bank has approved approximately $9.35bn in loans and credits for Nigeria between June 2023 and May 2026.

n

These approvals encompass a range of sectors, including power, education, healthcare, agriculture, social protection, renewable energy, MSME financing, and economic reform support, with key packages including the $2.25bn RESET and ARMOR reform financing in June 2024, $1.57bn for HOPE and SPIN programmes in September 2024, and $1.08bn for education and resilience programmes in March 2025.

n

If the proposed $1.25bn facility is approved next month, the total value of World Bank approvals under President Tinubu will rise to around $10.6bn, further solidifying the bank's role as a major external financier for Nigeria's reform agenda.

n

However, The PUNCH has noted that many of the approved loans are not immediately disbursed, as the release of funds is often contingent upon the fulfilment of specific policy and reform conditions, which can lead to delays in the disbursement process.