photo of World Bank headquarters in Washington, DC, and Malema.
World Bank has approved up to $12 million in loans for Nigerian states hosting internally displaced persons (IDPs), under a new federal project aimed at improving data and support for displaced communities.
The funding is part of the “Solutions for Internally Displaced and Host Communities Project,” approved by the Bank on August 7, 2025. The project focuses on closing gaps in data on displacement-related vulnerabilities.
States can only access the loan after meeting strict performance benchmarks. Disbursements are tied to verified results, including registration and profiling of IDPs, demographic surveys, and long-term integration efforts.
Under the first-year requirements, participating states must register and profile IDPs in selected host communities and complete detailed demographic and vulnerability assessments in at least two wards. States meeting these benchmarks will receive $250,000 each.
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In the second year, Tier 1 states must conduct intention surveys and stability assessments, analyse causes of displacement, and assess socioeconomic impacts. Meeting these targets qualifies each state for $500,000.
By the third year, 80% of IDPs in participating states must be registered and profiled to access the final $500,000 tranche, bringing the total allocation to $12 million under this performance condition.
The broader $300 million credit, approved by the International Development Association, will fund infrastructure, livelihoods support, and institutional strengthening across northern Nigeria.
Loan repayment is structured over 20 years, with disbursements in US dollars and repayment starting in January 2031. The World Bank remains Nigeria’s largest single creditor, holding $19.39 billion of the country’s external debt.
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