World Bank Approves $300m Loan to Aid Displaced Persons in Northern Nigeria
By Patience Ikpeme
The World Bank has approved a $300 million loan to finance a new initiative called the Solutions for the Internally Displaced and Host Communities Project (SOLID).
This initiative, approved on August 7, is designed to improve access to essential services and economic opportunities for internally displaced persons (IDPs) and the communities hosting them in parts of Northern Nigeria.
The World Bank’s statement on Monday explained that this project adopts an integrated development strategy to help both IDPs and host communities become more self-sufficient and resilient.
This approach is aligned with Nigeria’s long-term development goals and builds on previous efforts, such as the World Bank-supported Multi-Sectoral Crisis Recovery Project (MCRP), which focused on short-term emergency recovery.
The loan is likely to come as a concessional credit from the International Development Association (IDA), the World Bank’s arm that provides low-interest or interest-free loans to the world’s poorest countries.
Ongoing conflict and insecurity in Northern Nigeria have forced more than 3.5 million people from their homes. This has placed significant strain on local infrastructure and services in host communities, which are often already struggling.
The resulting population increase has led to competition for scarce resources and limited livelihood opportunities for everyone. The World Bank notes that local governments are unable to fully address these challenges on their own.
The SOLID Project’s key priorities are to develop and maintain climate-resilient infrastructure; promote social cohesion and community resilience through participatory development planning, economic cooperatives, and the integration of IDPs; support livelihoods to help both IDPs and local residents initiate and sustain new economic activities; and strengthen institutions to better respond to demographic changes caused by forced displacement.
World Bank Country Director for Nigeria, Mathew Verghis, spoke about the project’s potential for sustainable development. “We are glad to support this initiative which has a tremendous potential to help Nigeria in addressing development challenges associated with protracted displacement in a sustainable way,” he said. He added that the project’s integrated approach, which aligns with the country’s National IDP Policy, will ensure that affected communities can “transition from dependency on humanitarian assistance to self-reliance and resilience which will open up better economic opportunities.”
Fuad Malkawi and Christopher Johnson, who are the Task Team Leaders for SOLID, also provided insight into the project. They said, “This operation is central to tackling the enduring displacement crisis in Northern Nigeria. It reflects the urgency of addressing infrastructure gaps and service delivery challenges in host communities that were already strained before the influx of displaced populations. It will provide targeted livelihoods support to help both displaced and host populations achieve sustainable economic outcomes.”
The SOLID Project is expected to benefit up to 7.4 million people, including approximately 1.3 million identified as IDPs. The project will be carried out using a coordinated, community-driven approach that involves all levels of government and strong partnerships with international stakeholders. The ultimate goal is to bridge the gap between emergency relief and long-term development, helping Northern Nigeria move from a state of crisis response to one of stability and inclusive growth.
