World Bank to invest N70.5trn in Nigeria, others in 5 years

Urges govt to improve cross border trade 

As the World Bank plans to invest N70.5trillion ($150 billion) in Nigeria and other African countries in the next five years, it advised Nigeria to introduce policies that will improve her cross-border trade.

It noted that it would assist in economic recovery for the continent, saying that it was a way of developing the economy. World Bank President, Mr David Malpass, explained that Nigeria had a lot of potential, saying growth would be rapid with improvements in its economic policies.

He noted that the bank had invested $200 billion in Africa in the past 10 years. Malpass, who spoke during a virtual meeting, said that the bank had encouraged efforts at cross-border trade and subsidy reduction for fossil fuel as important for the nation’s economy.

He described multiple exchange rates as a burden on the people, saying that the bank encourages the unification or rates so that money, investments and remittances can flow in and out of Nigeria with less friction.

He added: “Our programmes remain strongly supportive of the people of Nigeria and in Nigeria.”

Also, at the just concluded Summit on the Financing of African Economies, the International Monetary Fund (IMF) said that additional financing of up to $285 billion would be needed during 2021-25 for Nigeria, Togo, DR Congo, Ivory Coast, Ghana, Angola and other African countries to step up the spending response to the Coronavirus pandemic, with about half of it for African low-income countries.

It stressed that the middle- income countries also required special attention, adding that most regions of the world were now launching massive post-pandemic recovery plans, using their huge monetary and fiscal instruments.

However, it said that most African economies suffered the lack of adequate capacities and such instruments to do the same.

It added: “We cannot afford leaving the African economies behind. Our ambition is to address immediate financing needs, to strengthen the capacity of African governments to support a strong and sustainable economic recovery and to reinforce the vibrant African private sector, as a long-term growth driver for Africa.

“In the very short term, solving the pandemic remains the top priority.

We recognize the role of extensive immunization against Covid-19 as a global public good, and stand united to ensure equitable access in Africa to safe and affordable vaccines, treatments and diagnostics through the ACTAccelerator and its COVAX facility, as well as through the African Union’s AVATT.