The World Bank has promised to release another $750 million loan through the International Development Association (IDA) to improve the reliability of electricity supply in Nigeria.
Naija News Understand that the International financial agency gave approval for the loan to end the long-lasting electricity crises in Nigeria.
In a statement on Tuesday, the International financial agency said the loan is for the power sector recovery operation (PSRO) to achieve financial sustainability and enhance accountability in the sector.
According to the bank, the PSRO will ensure that 4,500 MWh/hour of electricity is supplied to the distribution grid by 2022. It also estimated that the economic cost of power shortages in Nigeria is $28 billion, equivalent to 2% of the country’s gross domestic product (GDP).
Commenting on the credit facility, Shubham Chaudhuri, World Bank country director for Nigeria, said adequate electricity supply is capable of lifting 100 million Nigerians out of poverty.
“The lack of reliable power has stifled economic activity and private investment and job creation, which is ultimately what is needed to lift 100 million Nigerians out of poverty,” Chaudhuri said.
“According to the World Bank, about 47% of Nigerians do not have access to grid electricity and those who do have access, face regular power cuts.
Source: Naija News