This is a significant shift in Nigeria’s traditional approach to international borrowing. The warning from the Accountant-General of the Federation (AGF), Dr. Shamseldeen Ogunjimi, essentially signals that Nigeria is trying to move from being a “desperate borrower” to a “disciplined client.”
During a meeting in Abuja yesterday (May 8) with a World Bank delegation led by Mrs. Treed Lane, Dr. Ogunjimi was blunt. If the World Bank takes more than six months to approve and disburse a loan, Nigeria may officially “honour such arrangements no longer.”
The AGF argued that because these are loans, not grants, Nigeria deserves a professional level of service. He noted that bureaucratic delays often make project funding obsolete by the time the money actually arrives, given the shifting economic landscape and project deadlines.
This tension isn’t just about speed; it’s about a broader push for fiscal accountability. In the same meeting, the AGF admitted that the World Bank had raised concerns about Nigeria’s financial reporting. To fix this, he promised the 2023 Audit Report would be submitted within two weeks, with the 2024 and 2025 reports already in the works.
Nigeria is currently replacing its obsolete GIFMIS (Government Integrated Financial Management Information System) infrastructure with modern tech to improve transparency essentially telling the World Bank, “We are fixing our side, so you must fix yours.”
With Nigeria’s 2026 borrowing plan recently raised to ₦29.2 trillion, the government is under immense pressure to ensure that every kobo borrowed is put to work immediately to avoid paying interest on “idle” loan agreements.
This move is part of President Tinubu’s broader strategy to reduce Nigeria’s reliance on foreign borrowing. By setting strict terms for the World Bank, the administration is attempting to stop paying commitment fees on loans that haven’t been disbursed and to ensure that infrastructure projects (like power and roads) aren’t stalled by Washington D.C. bureaucracy.
Tinubu’s administration intends to show private investors and other multilateral lenders that Nigeria is becoming a more assertive player in the global credit market.
Dr. Ogunjimi was recently appointed the African Chairman of the Association of Accountants-General, so his “six-month warning” likely carries weight across the entire continent, not just in Nigeria.
