The Bola Tinubu administration has approved a new foreign borrowing package totalling $396 million (₦569.6 billion) to fund projects for internally displaced persons (IDPs) and health infrastructure in Sokoto State.
The approval came after the Federal Executive Council meeting held on Wednesday at the Presidential Villa in Abuja, chaired by Bola Tinubu.
Finance Minister Wale Edun confirmed the development while briefing State House correspondents after the meeting.
According to Edun, the facility includes a $300 million World Bank credit targeted at supporting IDPs and host communities across several northern states.
He said two additional loans were approved, $50 million from the African Development Bank and $46 million from the Islamic Development Bank, to finance the Sokoto Health Infrastructure Project.
“The approvals are for a World Bank credit of $300 million for IDPs and host communities and $96 million combined from AfDB and IsDB for the Sokoto Health Infrastructure Project,” he said.
Edun added that the Sokoto State Government would provide counterpart funding for the health initiative, which aims to strengthen primary healthcare delivery in the region.
The finance minister also briefed the council on what he described as “positive economic indicators” under the Tinubu administration.
“As of the second quarter, the economy was on a solid growth trajectory, with GDP growth accelerating to over 4.2 per cent. Inflation has come down to 18 per cent, reserves are rising, and the exchange rate has stabilised,” Edun claimed.
He further asserted that economic reforms had improved market efficiency and reduced the cost of living.
“People are now spending about 50 per cent of their income on essentials like food, health, and transport compared to 90 per cent before. Affordability is improving,” he said.
However, critics say the move deepens Nigeria’s debt profile at a time when millions of citizens are struggling with rising prices and worsening poverty, questioning the logic of “borrowing to fund welfare” in a country already burdened by high external obligations.
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