Nigeria, AfDB Sign $500 Million Deal to Extend Nigeria Trust Fund to 2040

The African Development Bank (AfDB) and the Federal Government of Nigeria have signed a $500 million protocol agreement to extend the Nigeria Trust Fund (NTF) for another 15 years, through 2040. The announcement was made during the Bank’s 2025 Annual Meetings held in Abidjan, Côte d’Ivoire.

Established in 1976, the NTF is the Bank’s oldest and largest single-donor trust fund, created to support economic development in Africa, particularly in its least developed countries. With this latest replenishment, Nigeria reaffirms its role as a key financier of regional development and a cornerstone of intra-African solidarity.

Dr. Akinwumi Adesina, President of the African Development Bank Group, hailed the extension as a landmark commitment. “The Nigeria Trust Fund is a powerful symbol of Nigeria’s leadership and vision for Africa. This $500 million will enable us to deepen our private sector engagement, catalyze more hybrid financing instruments, and unlock private capital for low-income nations.”

The fund has financed 92 projects in 33 African countries over nearly five decades, impacting critical sectors such as agriculture, energy, transport, education, water, and sanitation.

Speaking at the signing, Nigeria’s Minister of Finance and AfDB Governor, Wale Edun, emphasized the importance of regional cooperation: “Though we are all developing countries, we must support one another. Nigeria is proud to extend the Fund and continue playing its part in lifting up the most vulnerable.”

Meanwhile, local leaders and affected families continue to seek support as they deal with the aftermath of the attacks. Many displaced residents are calling for emergency relief and security reinforcements to prevent further violence.

The renewed protocol introduces strategic reforms based on a recent evaluation by the Bank’s Independent Development Evaluation Department. These include the introduction of innovative financial instruments such as structured finance and catalytic risk-sharing mechanisms, updates to approval processes for operational efficiency, and a visibility strategy to better showcase Nigeria’s contributions.

With this extension, the NTF continues to function as a vital financial window of the AfDB, offering last-mile funding and technical support to bridge development gaps across the continent.