BUSINESS | DEVELOPMENT FINANCE
World Bank Approves $500m “FINCLUDE” Package for Nigeria
By Business Desk | December 2025
WASHINGTON D.C. — The World Bank has approved a $500 million financing package aimed at strengthening Nigeria’s micro, small, and medium enterprises (MSMEs), in a move designed to expand access to finance, stimulate job creation, and support inclusive economic growth.
The funding is being deployed under the Financial Inclusion for Development Project (FINCLUDE), with a strategic focus on underserved segments of the Nigerian economy, particularly women-led enterprises and agribusinesses.
Funding Breakdown
According to official disclosures, the financing package is structured as a blend of multilateral instruments:
- $400 million from the International Bank for Reconstruction and Development (IBRD)
- $100 million in concessional credit from the International Development Association (IDA)
The blended structure is intended to ensure affordability for borrowers while maintaining long-term financial sustainability.
Project Implementation
The Development Bank of Nigeria (DBN) has been designated as the implementing institution for the FINCLUDE project. Funds will be channeled through participating commercial banks, microfinance institutions, and other approved financial intermediaries.
The program seeks to:
- Expand access to credit for MSMEs nationwide
- Increase lending to women-owned and women-led businesses
- Support agribusiness value chains and rural enterprises
- Strengthen financial institutions’ capacity to serve small businesses
Strategic Focus: Jobs and Opportunity
World Bank officials note that FINCLUDE aligns with Nigeria’s broader economic reform agenda, emphasizing private sector–led growth, employment generation, and financial inclusion.
Women entrepreneurs, who form a substantial share of Nigeria’s informal and small-business economy, continue to face systemic barriers to credit. By prioritizing women-led enterprises, the project aims to close financing gaps and unlock productivity across key sectors.
Agribusinesses are also a core focus, reflecting agriculture’s role as one of Nigeria’s largest employers and a critical pillar of food security.
Economic Context
MSMEs account for more than 80 percent of employment in Nigeria and contribute nearly half of national GDP. Despite their importance, limited access to affordable financing has remained a persistent constraint on growth.
The World Bank–supported intervention is expected to ease these constraints by de-risking MSME lending and expanding structured financial products across the economy.
Outlook
Implementation of the FINCLUDE project will proceed in phases, with built-in monitoring and evaluation frameworks to track job creation, gender inclusion, and enterprise growth.
If effectively executed, the $500 million package could significantly strengthen Nigeria’s MSME ecosystem and accelerate inclusive economic development.
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