The African Development Bank Group (AfDB) has given its approval for a $200 million loan intended to support the expansion of Nigeria's digital infrastructure and foster employment opportunities.
This financial backing is designated for the Digital Value Chain Infrastructure for Boosting Employment (D-VIBE) Project, a key initiative designed to bridge connectivity gaps and strengthen the nation's digital economy, as announced by the bank.
The project is projected to enhance broadband access throughout Nigeria, Africa's most populous country and the largest market in West Africa. This improved connectivity is expected to drive productivity and create jobs.
Specifically, the initiative aims to significantly increase Nigeria's national fibre backbone coverage, extending it from its current 30,000 kilometers to approximately 120,000 kilometers. This expansion is planned to reach all 774 Local Government Areas across the country.
The enhanced network will facilitate high-speed broadband services to educational institutions, healthcare facilities, agro-industrial zones, remote communities, and commercial centres.
Furthermore, the project includes the establishment of cross-border fibre connections with neighbouring countries such as Benin, Cameroon, Niger, and Chad, with the goal of improving regional digital integration.
D-VIBE, also referred to as Project BRIDGE, is structured as a public-private partnership. It will operate through a Special Purpose Vehicle to expedite its implementation and attract private sector investment, with public sector ownership ranging from 25% to 49%, and private sector involvement between 51% and 75%.
The AfDB's loan is part of a larger sovereign financing package totalling $800 million. This package also includes $500 million from the World Bank and $100 million from the European Bank for Reconstruction and Development.
Overall project financing is estimated at $2 billion, with additional contributions expected from private sector investors and other development partners. The funding also incorporates a €22 million EU grant and a $2.6 million project preparation grant from the Multilateral Cooperation Center for Development Finance.
It is anticipated that the project will generate up to 2.8 million jobs throughout its operational period and aims to increase Nigeria's broadband penetration rate from the current 45% to approximately 70% by the year 2030.
Abdul Kamara, the Director-General of AfDB’s Nigeria Office, highlighted the project's potential to unlock opportunities across various sectors, stating that the investment will ensure high-speed connectivity becomes a reality for all Nigerian communities, from rural areas to urban centres.
Kamara further noted that the initiative will equip young Nigerians with essential digital tools to secure sustainable livelihoods. It will also address obstacles to digital adoption by making affordable devices available, implementing large-scale skills development programs, and supporting digital platforms.
Additionally, the project is set to enhance cybersecurity, foster market competition, and promote the use of renewable energy to ensure operational resilience and sustainability.
This initiative aligns with national and continental development strategies, including Nigeria’s Vision 2050, National Development Plan, and Renewed Hope Agenda, as well as the African Union’s Agenda 2063. It also supports the AfDB's 10-Year Strategy (2024–2033) focused on promoting inclusive growth and sustainable development across Africa.
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