FG, World Bank in final discussions for $1bn power loan

The Federal Government and the World Bank are in the final stages of negotiation for the release of a $1bn performance-based loan (PBL) for Nigeria’s Power Sector Recovery Programme (PSRP).

It was gathered that the loan was currently being prepared for final approval based on the recent findings on the PSRP by the World Bank Group and the Federal Government’s progress on implementation of the programme. The PSRP is a series of policy actions, governance and financial interventions to be implemented by the Federal Government over the next five years.

Its target is to restore the financial viability of the power sector, improve transparency and service delivery, resolve consumer complaints, reduce losses and energy theft and reset the Nigerian electricity supply industry for future growth. Officials of the World Bank recently met with the Federal Government’s representatives and both parties agreed on steps to present the PBL to the bank’s board of executive directors for consideration.