Nigeria plans to channel $460 million of a $500 million World Bank concessional loan into capitalising a new fibre infrastructure company, set to deploy 90,000 kilometres of climate-resilient broadband across the country. The initiative forms part of the Building Resilient Digital Infrastructure for Growth project, aimed at expanding high-quality internet access in underserved areas.
The proposed Project Company will operate as a majority privately-owned special purpose vehicle (SPV), with the Federal Government holding no more than 49 per cent equity through the Ministry of Finance Incorporated. The equity financing is structured in four tranches, tied to specific operational and performance milestones. The first tranche of $150 million will be released after company incorporation and shareholder agreements, while subsequent tranches will follow fibre rollout progress and the launch of wholesale open-access services.
The remaining $40 million of the World Bank loan will cover goods, works, consulting services, training, operating costs, and refund of a preparation advance. Implementation will be overseen by the Federal Ministry of Communications, Innovation and Digital Economy, with day-to-day management handled by a dedicated Project Implementation Unit.
Project BRIDGE, as the initiative is known, is part of Nigeria’s broader digital expansion strategy. It will optimise existing submarine cables, connect six geopolitical zones through seven main fibre rings, and elish 37 city loops, 77 regional networks, and multiple edge data centres. The total project cost is estimated at $1.6 billion, with additional funding expected from private-sector investors, the African Development Bank, the European Investment Bank, and the Islamic Development Bank.
Minister of Communications, Bosun Tijani, stated the project would strengthen Nigeria’s digital backbone and bring the country c to building one of the largest broadband networks in the developing world. Loan repayment will begin in October 2030 and continue until April 2050 at concessional rates.
Why not invest in improving healthcare or education instead of just infrastructure? Priorities matter too.
Are we sure this loan will be used efficiently? Hope it doesnt end up in the wrong pockets! 🤔 #transparencyiskey
Is it really a priority to invest in fibre-optic expansion when there are more pressing issues in Nigeria? Lets discuss.
Is this really the best way to use such a huge loan? What about investing in other sectors for a more balanced development?
Why spend on fibre-optic expansion when basic infrastructure like roads and electricity are lacking? Prioritize wisely!
I cant help but wonder if this fiber-optic expansion will truly benefit all Nigerians or just certain regions. What do you guys think?
Wow, thats a massive loan for fiber-optic expansion! I wonder if it will truly benefit all Nigerians equally.
Why invest in fibre-optic expansion when basic infrastructure like electricity is lacking? Prioritize needs over wants.
Why spend so much on fibre-optic expansion when there are more pressing issues like healthcare and education? Priorities need a rethink.