Nigerian government seeks $500 million loan from the World Bank to address water concerns

The Nigerian government is seeking a $500 million loan from the World Bank to address water security issues.
The loan is intended to improve dam safety, strengthen water resource management, and boost agricultural productivity through the SPIN project initiative.
The SPIN project focuses on institutional development, irrigation modernization, improvements in dam operations and safety, and project management.

Part of the intent for collecting the loan is to boost agricultural productivity through the Sustainable Power and Irrigation for Nigeria Project, as seen in the Nigerian newspaper, The Punch.

The World Bank relayed via its website that the SPIN project which is slated to be begin on the 26th of September, focuses on four essential areas: institutional development and capacity building, irrigation modernization, improvements in dam operations and safety, and project management.

“The proposed Sustainable Power and Irrigation in Nigeria (SPIN) project will address water resources management, water security, and energy security challenges in Nigeria through investments in irrigation, dams, storage infrastructure, and hydropower facilities,” the World Bank disclosed via the SPIN project document.

“For the Hydropower component, at this concept stage, the team is exploring potential interventions in both greenfield and brownfield investment opportunities.

“The Gurara II multipurpose dam in Niger state is a priority greenfield investment project for the Government. With a hydropower capacity of 360 megawatt (MW) and a reservoir capacity of 400 million cubic meters (MCM), the project aims to support irrigation schemes, aquaculture, and electricity generation.

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“Under the irrigation component, the project will rehabilitate about 30,000 existing hectares of irrigated command areas.”

It was also noted that the terrible floods of 2022, resulting in an estimated $6.7 billion in economic damage, underlined the urgent requirement for increased dam safety and water management.

In the subsequent stage of the project, the Nigerian Government intends to repair and rehabilitate 40,000 hectares of irrigated land. It would also organize and empower Water User Associations to operate irrigation projects effectively.