World Bank Group

12/13/2024 | Press release | Archived content

Nigeria to Enhance Road Infrastructure to Benefit Four Million in Rural Communities

WASHINGTON, December 13, 2024 - The World Bank has approved $500 million in concessional financing for the Rural Access Agricultural Marketing Project- Scale Up (RAAMP-SU) in Nigeria, the Government of Nigeria will finance an additional $100 million towards the project. This program aims to improve sustainability in the rural road sector by supporting states in establishing and operationalizing State Road Funds (SRF) and State Rural Access Roads Agency (RARA) and equipping the states and the Ministry of Agriculture to create a culture of maintenance and long-term infrastructure planning. The program also provides financing to construct and maintain high quality climate-resilient roads. program endeavors to.

Currently, 80% of Nigeria's road network is in poor condition. This inadequate infrastructure hampers the country's development and is further compounded by insufficient funding and climate change impacts such as high temperatures and increased rainfall, which damage roads. Addressing these issues through road infrastructure improvements will reinforce economic and social inclusion of beneficiary communities by increasing access to agricultural markets, social services and jobs nationwide.

The project aims to rehabilitate, upgrade, and maintain 6,500 km of rural roads through the newly created State institutions, provide technical implementation support, and promote social inclusion and gender equality, benefiting around 4 million rural residents. Key beneficiaries include farmers, transport operators, market participants, and rural communities who rely on these roads for daily activities. The program will also improve women's access to healthcare and labor market participation. It finally aims to promote economic transformation and inclusive growth, enhance the climate resilience of critical road infrastructure, and strengthen institutional capacity to manage climate risks.

"Rural roads play a critical role in connecting agricultural land to market infrastructure, thereby helping to improve food security. Rural road interventions like the RAAMP-SU will enable socioeconomic development for isolated areas and act as a catalyst for creation of growth centers", said Ndiamé Diop, World Bank Country Director for Nigeria, "The project will support improved access to market-leading to increased volume of traded agricultural products, farm gate prices and household income, and reduce harvest losses. We are pleased to support this program as it has the potential to create jobs and improve the income of millions of Nigerians"

The World Bank has been supporting Nigeria's rural road agenda (RAAMP) since 2007. This project is part of a larger program at the Ministry of Agriculture, with a range of interventions involving rural roads, agricultural marketing, construction and marketing of agro-logistical centers, and other agricultural initiatives.