African Development Bank considers $400m loan for Nigeria

The headquarters of the African Development Bank (AfDB) are pictured in Abidjan, Ivory Coast, September 16, 2016. Photo: REUTERS / Luc Gnago

LAGOS – The African Development Bank said on Tuesday it could consider an additional $400 million for Nigeria to support its growth and recovery efforts and was in talks with the government on how to help it reinvigorate Africa's largest economy.

The bank had been in talks with Nigeria for around a year to lend $400 million, the second tranche of a $1 billion loan, to shore up the country's budget deficit.

READ: Nigerian lawmakers to probe $2bn of foreign loans

On Monday, a vice president at the bank, Amadou Hott, told Reuters that the money was no longer for budget support and would instead be redirected to specific projects.

Hott is vice president for power, energy, climate change and green growth.

In a statement on Tuesday, the bank said: "An additional $400 million in support could be considered, if requested and approved by the Board, as part of a larger coordinated effort with other development partners, including the World Bank and the International Monetary Fund."

The lender did not say whether the money that could be released would be in the form of budget support.


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