Nigeria Seeks $1.5 Billion from World Bank to Boost Dollar Supply and Budget

Nigeria is negotiating with the World Bank for a loan of up to $1.5 billion to address a severe dollar shortage that has affected its economy and currency. The Minister of Finance, Wale Edun, revealed this on Wednesday in a Bloomberg Television interview with Francine Lacqua.

Edun said that the loan would help support the national budget, which has been hit by the fall in oil prices and the coronavirus pandemic. He also said that the loan would help ease the pressure on the Naira, which has depreciated sharply against the US Dollar in the foreign exchange market.

“We’re hoping to get $1 billion or $1.5 billion from the World Bank,” he said. “It is a matter of discussion at the moment, but we think we will get the support because we are continuing with our reforms.”

Daily24Apps reports the Naira lost 6 per cent of its value against the US Dollar on Wednesday, dropping from N878.57 to N931.23 per Dollar. This was the second consecutive day of decline for the local currency, which has been affected by the low supply of dollars in the market.