World Bank Cuts CBN Grant to $6.8m, Approval Set for March
The World Bank has cut its planned grant to the Central Bank of Nigeria (CBN) from $10.5 million to $6.8 million, with board consideration now scheduled for March 27, 2026.
The grant, which is not a loan, will fund the CBN Technical Assistance Facility, a project aimed at strengthening the apex bank’s technology-enabled, data-driven supervision of Nigeria’s banking sector and improving oversight of payment and remittance systems.
According to updated information on the World Bank’s website, the project has advanced to the decision meeting stage, the final step before board approval, marking progress from its earlier concept review stage reported in April 2025.
The revised $6.8 million commitment will be financed entirely through the Finance for Development Multi-Donor Trust Fund, with no involvement of the International Development Association (IDA) or International Bank for Reconstruction and Development (IBRD).
This confirms the project will not add to Nigeria’s external debt.
The World Bank explained that such revisions are normal during preparation.
“Until the World Bank Board approves them, elements such as design, components, and financing envelopes may be revised or adjusted,” a source told The PUNCH.
If approved, the grant will formalise a partnership focused on integrating advanced tools and data science into the CBN’s regulatory processes, addressing risks in Nigeria’s evolving financial system.
The project carries a moderate environmental and social risk rating and is expected to close on February 28, 2029.
The World Bank remains Nigeria’s largest creditor, accounting for $19.39 billion of external debt, representing 41.3% of the total.
Between 2023 and 2025, loans to Nigeria are projected to reach $9.65 billion, rising to $9.77 billion when grants are included.
Officials say the grant will help modernise the CBN’s supervisory capacity, strengthen payment oversight, and reinforce Nigeria’s financial stability without increasing debt exposure.