Fidelia Soriwei, Abuja
The Federal Government has warned that it may withdraw from future loan arrangements with the World Bank if persistent delays in approvals and disbursements continue to affect project implementation in the country.
The warning was issued by the Accountant-General of the Federation, Dr. Shamseldeen Ogunjimi, during a meeting with a World Bank delegation led by Mrs. Treed Lane in Abuja.
According to a statement released on Friday by the Director of Press and Public Relations at the Office of the Accountant-General of the Federation, Bawa Mokwa, Ogunjimi expressed concern over the lengthy timelines associated with processing World Bank-backed facilities.
He stressed that Nigeria expected quicker action on loan approvals and disbursements because the facilities were repayable and not grants.
“If approvals take more than six months, the Nigerian Government may no longer honour such arrangements,” Ogunjimi said.
The Accountant-General noted that delays in releasing project funds could disrupt implementation schedules and undermine the country’s broader development objectives.
He therefore urged the World Bank to accelerate approval processes and ensure timely disbursement of funds tied to projects in Nigeria.
Ogunjimi also stated that the Federal Government had begun addressing concerns previously raised by the World Bank regarding public financial management, audit reporting and digital infrastructure.
According to him, the 2023 Audit Report would be submitted to the Office of the Auditor-General for the Federation within two weeks, while work on the 2024 and 2025 audit reports was already ongoing.
He further disclosed that efforts were underway to modernise the Government Integrated Financial Management Information System, explaining that outdated infrastructure was being replaced with upgraded technology to improve efficiency and service delivery.
The AGF said the reforms formed part of ongoing measures aimed at strengthening accountability, transparency and financial management within government institutions.
Earlier, the leader of the World Bank delegation, Mrs. Treed Lane, congratulated Ogunjimi on his emergence as African Chairman of the Association of Accountants-General and encouraged Nigeria to sustain reforms around digitalisation and timely financial reporting.
The development comes amid growing concerns over delays linked to about six World Bank loans valued at roughly $2 billion, which were signed for Nigeria in 2024 despite reportedly receiving approval from the institution nearly a year ago.
Responding to questions over the delayed releases, the World Bank’s Senior External Affairs Officer, Mansir Nasir, explained that funds for projects are not disbursed at once but released in phases based on agreed milestones and financing structures.
“Projects financed by the World Bank run for a certain time, which varies depending on the specific project. The total amount of the project is not disbursed as a one-off, but rather in instalments depending on the financing instruments—e.g., IPF or PforR—which require certain milestones for specific disbursement values.
“If you look at the portal, you will see the specific disbursement timelines and values,” Nasir said.
He added that projects must meet agreed conditions between the Federal Government and the World Bank before disbursement processes can commence.
Meanwhile, recent figures released by the Debt Management Office showed that Nigeria’s debt exposure to the World Bank increased from $17.81 billion in December 2024 to $19.89 billion as of December 31, 2025, representing an 11.7 per cent rise.
