By Obiabin Onukwugha
The World Bank has approved $300m to finance solutions for internally displaced persons (IDPs) and host communities in Northern Nigeria.
The initiative, which targets selected local government areas, will enhance access to essential services and economic opportunities for the IDPs and host communities.
World Bank revealed this in a statement by its Country Director for Nigeria, Mathew Verghis, in Abuja on Monday.
According to the statement, the project seeks to help both IDPs and host communities move towards greater self-sufficiency and resilience, in line with Nigeria’s long-term development goals.
It said the project is to be implemented through a coordinated, community-driven approach involving all tiers of government, with strong collaboration from international stakeholders.
“The World Bank has approved on August 7, $300m in financing for the Solutions for the Internally Displaced and Host Communities Project (SOLID).
“This initiative will enhance access to essential services and economic opportunities for Internally Displaced Persons and host communities in selected Local Government Areas in Northern Nigeria.
“By adopting an integrated development strategy, the SOLID Project seeks to help both IDPs and host communities move towards greater self-sufficiency and resilience, in line with Nigeria’s long-term development goals,” the statement read in part.
The World Bank noted that ongoing conflict and insecurity in the region have displaced over 3.5 million people, putting significant strain on local infrastructure and services in areas where IDPs have settled.
It said conflicts and insecurity has also heightened competition for scarce resources, limited livelihood opportunities, and increased vulnerability to natural disasters such as flooding, while local governments struggle to meet the needs of both residents and displaced populations.
The project, the body further noted, is to build on existing initiatives by the federal government, previous international interventions, and the earlier World Bank-funded Multi-Sectoral Crisis Recovery Project, which focused on short-term recovery.
It will also prioritise developing and maintaining climate-resilient infrastructure, promote social cohesion and community resilience through participatory planning and economic cooperatives, support livelihoods to enable economic activities for both IDPs and host communities, and strengthen institutions to respond to demographic pressures caused by displacement.
“We are glad to support this initiative, which has a tremendous potential to help Nigeria in addressing development challenges associated with protracted displacement in a sustainable way.
“The project’s integrated approach, aligned with the National IDP Policy and the Federal Government’s long-term vision, will ensure that IDPs and host communities can transition from dependency on humanitarian assistance to self-reliance and resilience, opening up better economic opportunities,” Verghis said.
Task Team Leaders, Fuad Malkawi and Christopher Johnson, described the initiative as central to addressing the enduring displacement crisis in Northern Nigeria.
The Punch reports that data from the Debt Management Office showed that Nigeria’s total debt to the World Bank rose to $18.23bn as of March 31, 2025. This marks a $420m increase in just three months since December 2024, when Nigeria’s total exposure to the World Bank stood at $17.81bn.
The DMO data showed that borrowings from the International Development Association, the concessional financing arm of the World Bank, rose from $16.56bn in December 2024 to $16.99bn in March 2025.
At the same time, loans from the International Bank for Reconstruction and Development — the non-concessional lending window of the World Bank — remained unchanged at $1.24bn.
In total, the World Bank Group now accounts for $18.23bn, or about 39.7 percent of Nigeria’s total external debt stock, which stood at $45.98bn as of March 2025.
