In a strategic push to cushion economic hardship triggered by subsidy removal and inflation, Nigeria has secured an additional $215 million from the World Bank under the $800 million National Social Safety Net Programme-Scale Up (NASSP-SU). This latest disbursement brings the total funds released to Nigeria so far to $530 million, according to data obtained from the World Bank’s portal.
Originally approved in December 2021, the NASSP-Scale Up was designed to provide conditional cash transfers to the country’s poorest households. Though the programme initially offered N5,000 monthly, the administration of President Bola Tinubu revised the amount to N25,000 per household for a three-month period, targeting 15 million vulnerable households.
Despite receiving World Bank approval in 2021, Nigeria experienced an extended delay—about 17 months—in accessing the funds due to administrative bottlenecks and political transitions. Yet, interest charges continued to accrue. Between January and July 2024, Nigeria paid approximately $6.18 million in interest on the undisbursed loan, including multiple tranches exceeding $1.8 million and $5.3 million in separate months.
As of May 2025, 66.25% of the loan has now been drawn down, leaving around $226.73 million yet to be accessed. However, concerns remain over the efficiency and transparency of fund deployment.
The disbursement process has been mired in scandal. In late 2023, the Economic and Financial Crimes Commission (EFCC) uncovered an alleged N37.1 billion fraud within the Federal Ministry of Humanitarian Affairs and Poverty Alleviation. Former Minister Sadiya Umar-Farouq and her successor, Dr. Betta Edu, were both implicated in separate financial misconducts involving unauthorized fund transfers and laundering through third-party contractors.
Dr. Edu was suspended in January 2024 after reportedly directing N585 million into a private account. In response, President Tinubu ordered a comprehensive probe into the ministry’s operations. The EFCC subsequently recovered over N32.7 billion and $445,000 in assets linked to the fraud.
Halima Shehu, the then National Coordinator of the National Social Investment Programme Agency (NSIPA), was also arrested for allegedly misappropriating N44 billion from programme accounts.
In a bid to restore credibility, President Tinubu appointed Finance Minister Wale Edun to lead a special investigative panel to restructure Nigeria’s social investment framework. The goal is to improve transparency, ensure that interventions reach intended beneficiaries, and restore public trust.
The government has since partnered with the Central Bank of Nigeria and the National Identity Management Commission to mandate the use of Bank Verification Numbers (BVN) and National Identity Numbers (NIN) in verifying cash transfer recipients.
Despite the reforms, the World Bank’s latest Implementation Status Report from January 2025 rated Nigeria’s execution of the NASSP-SU as “moderately satisfactory.” Financial management, procurement practices, and monitoring and evaluation were all flagged as “moderately unsatisfactory.”
In further action against corruption, the World Bank in January 2025 debarred two Nigerian firms—Viva Atlantic Limited and Technology House Limited—and their CEO, Norman Didam, for 30 months over fraudulent practices related to the original NASSP. The companies were found guilty of falsifying documents, concealing conflicts of interest, and offering bribes to officials.
Additionally, Abuja-based consultant Akuboh Victor Uneojo was debarred for over two years after admitting to bribing an intermediary to influence a contract under the NASSP.
The NASSP-Scale Up is scheduled to conclude by December 31, 2025, unless extended. Nigeria’s ability to meet its cash transfer goals and uphold transparent management will be critical in determining its success.
As the country grapples with inflation, unemployment, and widespread poverty, effective deployment of the World Bank funds could provide temporary relief for millions. However, analysts caution that without systemic reforms in public financial management, the programme risks repeating past failures.