The African Development Bank (AfDB) is poised to grant Nigeria a US$500 million loan this year as part of a two-year US$1 billion budget support programme, according to Bode Oyetunde, the Nigerian representative on the bank’s board. The first tranche of US$500 million was disbursed in 2024, and the next is expected to be approved before year end, pending board clearance. 

The proposed funding is tied to Nigeria’s sweeping economic reforms under President Bola Tinubu, including subsidy removal, foreign exchange unification and tax overhauls. Oyetunde said AfDB’s backing will especially support Nigeria’s fiscal consolidation and power sector reforms.