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North-East leads as AfDB projects hit $6.2bn in Nigeria

AfDB approves investment of $650 million annually to drive economic transformation, resilience, and broad-based prosperity across Nigeria.
AfDB

Quick Read

The North-East region received the highest share of African Development Bank (AfDB)-funded projects in Nigeria in 2025, while projects in the South-East recorded slow fund disbursement despite receiving approvals.

The North-East region received the highest share of African Development Bank (AfDB)-funded projects in Nigeria in 2025, while projects in the South-East recorded slow fund disbursement despite receiving approvals.

This was revealed in the AfDB’s 2025 Country Portfolio Performance Review for Nigeria, which examined the bank’s project performance and implementation status as of December 2025.

According to the report, AfDB’s total portfolio in Nigeria rose to $6.2 billion across 53 projects covering all 36 states and the Federal Capital Territory. The projects span sectors such as transport, energy, water, agriculture, health, education, and private sector support.

North-East records strongest implementation

The largest regional project identified in the report was the Inclusive Basic Service Delivery and Livelihood Empowerment Programme in the North-East. The project is worth $259.5 million and covers Borno, Adamawa, Bauchi, Gombe, and Taraba states.

The programme focused on water supply, sanitation, healthcare, education, nutrition, women agribusiness support, MSMEs, and livelihood assistance.

According to the report:

45 out of 60 health facilities were completed or nearing completion.

More than 18,000 pupils received school furniture, uniforms, and learning materials.

1,105 MSME start-ups received support.

1,507 women-led agribusiness groups benefitted.

3,268 vulnerable people received cash transfers or productive assets.

South-East projects face slow disbursement

The report showed that clearly identifiable projects in the South-East received approvals worth about $171.3 million, but only $30.93 million had been disbursed by December 2025.

The Ebonyi State Ring Road Project performed better, with about $29.6 million disbursed from its $54.6 million approval.

However, the Abia State Integrated Infrastructure Project recorded very low disbursement. Out of its $115 million approval, only about $0.13 million had been released as of December 2025.

The report also showed:

The Abia Integrated Infrastructure Study had a stronger performance, with $1.2 million disbursed from a $1.7 million approval.

Imo State is part of the $210 million Special Agro-Industrial Processing Zones Phase I programme, but its contract award was still pending as of Q2 2026.

Enugu State also benefitted from technical assistance under the Electricity Act implementation programme.

At the review exchange rate of N1,473 per dollar, South-East project approvals were valued at about N252.3 billion, while actual disbursement stood at about N45.6 billion.

Nigeria’s overall AfDB portfolio improves

AfDB stated that Nigeria’s overall project disbursement rate stood at 53% as of December 2025.

The bank also reported a reduction in “flagged operations” from 42% in January 2025 to 25% in December 2025.

Flagged operations refer to projects considered at risk of delays, budget overruns, or failure to meet development goals.

According to AfDB, the improvement came from closer monitoring by the bank, the Federal Ministry of Finance, and project agencies.

Why this matters

The report shows that project approvals do not always lead to immediate implementation.

AfDB identified several challenges affecting project delivery, including:

Delays at project start-up stage

Procurement problems

Counterpart funding shortages

Slow disbursement processes

While the South-East received major infrastructure approvals, many projects are still at early stages and have not yet translated into visible infrastructure development.

The North-East, on the other hand, recorded stronger visible results because many of its projects had already moved further into implementation.

Project completion dates

The report listed the following expected completion dates:

Ebonyi Ring Road Project — November 30, 2026

Inclusive Basic Service Delivery Programme — December

Abia State Integrated Infrastructure Project — April 30, 2029

Overall, the report indicates that the North-East achieved the strongest project delivery performance during the review period, while the South-East struggled mainly with slow disbursement and delayed implementation rather than lack of project approvals.

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