EU Offers $1.3Bn Support To Help Nigeria Diversify Economy

The European Union (EU) and its development finance institutions have announced that they will provide 1.29 billion euros ($1.3 billion) to Nigeria to help it diversify its economy away from oil. 

According to Reuters, the funding will be provided until 2027 under the EU’s “Green Deal” initiative and will, among other things, focus on improving access to renewable energy and boosting agricultural development.

Nigeria has been attempting to diversify its economy and exports beyond the oil sector, which accounts for approximately 7% of Nigeria’s GDP and 90% of its foreign exchange (forex) earnings. 

“At the same time, sovereign lending from the European Investment Bank (EIB) will help the agri-food sector gain access to markets by financing rural roads, as well as climate adaptation and mitigation efforts,” the EU said.
According to the EU, approximately 57 projects will be funded, including nature-based measures to reduce climate change vulnerability, combating deforestation and desertification, and a waste-to-energy initiative in Cross River State.