• Tuesday, April 23, 2024
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AfDB approves N47 bn to support infrastructure, public financing in Nigeria


 The African Development Bank (AfDB) has approved N47 billion ($300 million) budget support loan for improving transport network, infrastructure, agriculture and power in Nigeria, the resident representative of the bank, Ousmane Dore, has said.

Dore, who announced the approval to newsmen in Abuja recently, while speaking on the bank’s 2013 to 2017 strategic plan, said that “ the country strategy paper was anchored on two pillars of creating a sound policy environment and investing in critical infrastructure.’’

According to him, the paper is aligned with the long term development agenda of the new administration as outlined in vision 20:2020 and transformation agenda.

He said that the paper was also aligned with the country’s assistance framework currently developed by the donor community in Nigeria.

On the first pillar of creating sound policy, he said that focus would be on policy dialogue; analytical frameworks and technical assistance.

He said the second pillar of infrastructure development would focus on improved fiscal discipline and effectiveness of public expenditure.

On the energy sector reform, Dore said that the bank would support the privatisation process with $50 million through its partial risk guaranty instrument.

“The expectation is that the bank will mobilise additional funds into the sector to support sustainable reforms and transformation of the sector. As a comparative advantage, the bank is on record for mobilising an additional four dollars for every one dollar it invests. It is expected that with an investment of $50 million dollars, the bank will mobilise some additional $200 million dollars. The net effect of such transactions is extensively beneficial to member countries,” he said.

According to Dore the bank had invested N142 million to support water and sanitation in Nigeria especially in the area of rural water and sanitation programmes.

He said that about 2.56 million people in Yobe and 760,000 in Osun had been provided with safe water in 2012 adding that 2.30 million and 680,000 people were also provided with hygienic sanitation facility in same states in 2012.

He, therefore, said that the bank had earmarked N31.4 billion loan to support the agriculture transformation agenda in the strategic paper.

“While the strategy focuses on infrastructure development, the key element of the new strategy is job creation. To achieve sustainable job creation and employment opportunities, particularly for the youth, the bank has earmarked some N31.4 billion loan towards support to the agriculture transformation agenda,” he said.