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World Bank deploys $114.9 to finance global crises in 2022
The World Bank Group says it has responded to the overlapping global crises by deploying 114.9 billion dollars in financing in 2022.
This is contained in a statement obtained from the World Bank website by the News Agency of Nigeria (NAN) on Saturday in Abuja.
The bank said in its just completed 2022, from July 1, 2021, to June 30, 2022, it responded with unprecedented scale to overlapping global crises.
It said it provided advice and financing in response to the sharpest economic slowdown in eight decades, rising inflation, deepening food insecurity, war and fragility, and the continued negative impact of the COVID-19 pandemic.
“Amid these devastating crises, the World Bank Group deployed a record 114.9 billion dollars in the year under review.
“Commitments during the year were informed by our knowledge work and helped countries address rising food prices, manage refugee flows, and bolster health preparedness
“The bank also helped maintain private sector trade, and support efforts to mitigate and adapt to climate change, among others, benefitting especially the poor and most vulnerable.”
The statement quoted the World Bank Group President, David Malpass, as saying “developing countries are facing multiple challenges from war to surging food and energy prices.
“This deepens inequality and leads to reversals in development gains.”
Malpas said the World Bank Group had responded with urgency, scale, and impact.
“We have committed consecutive surges of financing, analytical support, and policy advice. First in response to the COVID-19 pandemic, and now to address the food crisis, the war in Ukraine, and its spillover effects.”
The statement said the International Bank for Reconstruction and Development (IBRD) and International Development Association (IDA), both part of the World Bank committed 70.8 billion dollars in assistance in 2022.
According to the statement, its highest ever level of commitments is nearly 70 per cent higher than the pre-crisis average of commitments from 2013 to 2019.
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“That figure included 33.1 billion dollars from IBRD in support to middle-income countries as well as a few higher-income countries.
“With 37.7 billion dollars in grants and zero-or low-interest loans to the world’s poorest countries from the IDA.”
The statement said that since the start of the COVID-19 pandemic, total World Bank Group financing reached 272 billion dollars, including 52.6 billion dollars in the last quarter of 2022.
It said as of June 30, 2022, the World Bank had approved 10.1 billion dollars in financing for vaccine acquisition and deployment in 78 countries, of which 4.6 billion are for 42 countries in Africa.
“Over 600 million doses have been contracted with approved bank financing, of which more than 430 million have been delivered.”
It said the bank was also setting up a financial intermediary fund to strengthen pandemic Prevention, Preparedness, and Response (PPR) capacities at national, regional, and global levels, with a focus on low- and middle-income countries.
“With over one billion dollars in financial commitments already announced, the fund will bring additional, dedicated resources for PPR, to incentivise countries to increase investments, enhance coordination among partners, and serve as a platform for advocacy.”
According to the statement, for the 15 months from April 2022 to June 2023, financing is expected to reach 170 billion dollars.
It said an important component of this funding would be devoted to food security, including social protection and projects in agriculture, nutrition, water, and irrigation.
“The World Bank has made available about 30 billion dollars over these 15 months as part of a comprehensive, global response to the ongoing food security crisis.
“Some 12 billion dollars of which will be new lending, informed by our substantial data and analytical work on food and nutrition systems.
“Since April 1, the World Bank has delivered 32 food-crisis related operations and committed 5.3 billion dollars in this area.”
The statement also said that the bank continued to rapidly increase its climate financing in 2022, in line with the World Bank Group’s Climate Change Action Plan (CCAP) for 2021-2025.
“The World Bank’s climate finance totalled a record 26 billion dollars which accounts for 37 per cent of commitments in 2022, an 83 per cent increase from 14.2 billion dollars in 2019.
The World Bank Group said it played a critical role in building and enabling the private sector in developing countries, which it does through the International Finance Corporation (IFC).
It said the IFC had a record year in 2022 with commitments reaching an all-time high of 32.8 billion dollars, including 12.6 billion dollars of commitments for IFC’s own account.
“Out of the 12.6 billion dollars, 3.5 billion dollars went to IDA countries and Fragile and Conflict-affected Situations (FCS).
It said the Multilateral Investment Guarantee Agency (MIGA), which mandate was to drive impactful foreign direct investment to developing countries, issued 4.9 billion dollars in new guarantees.
It said out of the 4.9 billion dollars, 32 per cent was in IDA countries, 12 per cent was in FCS countries, and 28 per cent supported climate finance.
The statement further said progress was also made in efforts to fully incorporate women into economies.
According to the statement, an unprecedented 90 per cent of the World Bank’s 2022 operations are helping to close gender gaps, well above corporate commitments. (NAN)
Following the marginal reduction of the pump prices of premium motor spirit (PMS) by the Dangote Petroleum Refinery and the Nigerian National Petrol Company Limited (NNPC Ltd), civil society groups have reacted by calling for further downward review.
Recall that the Dangote Petroleum Refinery had announced a partnership with MRS Oil and Gas to offer petrol at N935 per litre at retail outlets, while it reviewed the ex-depot price from N970 to N899.50 per litre.
The move, saw state oil major, the Nigeria National Petroleum Company peg its retail prices at N965/litre.
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However, the civil society groups are of the opinion that the price reduction, fall short of expectations.
According to the Chairman, Centre for Accountability and Open Leadership, Debo Adeniran, the reduced price of N935/litre was still expensive and unsatisfactory.
He pointed out that petrol was just one of the products coming out of crude and that both government and private business could still give out free petrol to citizens while making huge profits from the other products.
In his words, “Well, we believe that if NNPC and the private sector actually give out PMS for free, they will still not run their business at a loss, because the other derivatives of petroleum products can still serve them, and can still make them to break even. So, even at that N900 and something, it’s still expensive.
“Dangote has kind of mooted the idea that it could drop to as low as N650. And if he has mulled this, then it means that it is the state, it is the NNPC that will have been the clog in the wheel of such progress. And you know also that we expected that fuel prices, especially PMS prices, will drop below N200 when Dangote was expected to come on stream.
“So, it’s unfortunate that we are still talking about over N900 and they want us to jump up and rejoice for that. That is not satisfactory. They should just let us see the breakdown of their production cost and why it’s still there. I mean, there are countries like Libya under Gaddafi that gave out PMS for free and they didn’t run anything at any loss. So, I believe that it can still go further down.”
On his part, the Executive Director of the Civil Society Legislative Advocacy Centre, Ibrahim Rafsanjani, commended the reduction of fuel prices by the NNPC and Dangote, but said the government could still reduce the price.
“Dangote’s own is about N899 or something like that. Well first and foremost, we are happy that there is a little reduction in the prices. But also based on analysis and based on facts and evidences, we believe that it is possible for the Nigerian government to further reduce the prices.
“Because if a private company can reduce the price and it still makes profit, we wonder why government-owned enterprises cannot really pity its citizens,” he said.
The Central Bank of Nigeria (CBN) has announced a significant growth in the country’s economy, with a 3.46% increase in gross domestic product (GDP) in the third quarter of 2024.
This marks the third consecutive quarter of expansion, up from 3.19% in Q2 2024 and 2.54% in Q3 2023.
According to the newly published Q3 economic report, Nigeria’s GDP output rose to ₦20.115 trillion, reflecting a notable improvement from ₦18.285 trillion in the previous quarter.
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The CBN attributed this growth primarily to the performance of the non-oil sector, which grew by 3.37% compared to 2.80% in Q2 2024.
The report highlighted transportation, crop production, and other sub-sectors such as financial & insurance services, information & communication, trade, and real estate as major contributors to the expansion.
The non-oil sector accounted for 3.18 percentage points of the total growth rate.
“The expansion of the non-oil sector was driven by the performance of the financial & insurance, information & communication, crop production, trade, transportation & storage, and real estate sub-sectors,” the report stated.
Despite the economic growth, challenges persist. Inflation, particularly in food prices, remains a significant concern, standing at 39.93% as of November 2024.
Rising food and energy costs have also impacted transportation expenses, with intercity bus fares increasing by 20.23% year-on-year to ₦7,117.17 in July 2024, according to the National Bureau of Statistics.
Furthermore, the cost of petroleum, now exceeding ₦1,000 per litre, has driven up logistics and transportation expenses, adding pressure to households and businesses alike.
The CBN acknowledged these challenges, noting that the growth was achieved despite headwinds such as high inflation and rising operational costs.
Enhanced security measures in the Niger Delta have boosted domestic crude oil production, while restrictive monetary policies have helped moderate inflation in some areas.
“The growth recorded in the country is a result of continued efforts to improve the business environment, streamline cumbersome business processes, and deepen the quality of business infrastructure,” the CBN noted.
However, the report comes amid concerns over businesses exiting Nigeria due to persistent economic challenges.
Asharami Synergy, a leading downstream energy solutions provider, has demonstrated its commitment to community development and education by donating essential furniture to Gaskiya Junior School in Ijora, Lagos, Nigeria.
Biztellers reports that the social responsibility initiative was executed in collaboration with Sahara Group Foundation – the social impact vehicle of global energy conglomerate, Sahara Group.
It was gathered that the initiative is part of Asharami Synergy’s ongoing efforts to support education in communities.
The donation includes classroom desks and chairs for the JSS1 classes.
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CEO of Asharami Synergy, Nomnso Dike, said the project will create a more comfortable and functional learning environment and enhance student performance.
“We are delighted at the opportunity to support the attainment of Sustainable Development Goal (SDG) 4, which focuses on ensuring inclusive and equitable quality education. It has been a privilege to collaborate with the management and students of Gaskiya Junior School to deliver this project, and we look forward to future opportunities to enhance academic performance in this historic institution,” Dike said.
According to him, Asharami Synergy’s education-focused social impact initiatives have benefitted over 10,000 individuals. They focus on building capacity and providing the resources necessary to help students learn and grow sustainably.
“Education is the foundation of a brighter future, and at Asharami Synergy, we believe that every child deserves a learning environment that inspires and empowers them” he noted, adding, “This donation is not just about providing furniture; it’s a reminder to the students that their dreams are valid, and we are committed to helping them achieve their goals.”
Vice Principal Academic of Gaskiya Junior School, Sola Oladokun, commended Asharami Synergy for the donation, noting that it would inspire students to perform better with “increased concentration and fewer distractions”.
“These desks and chairs are a game-changer for our students. It’s heartwarming to see their excitement, and as teachers, we are equally thrilled because this will make teaching and learning more effective. We are incredibly grateful to Asharami Synergy and Sahara Group Foundation for this thoughtful intervention,” she added.
Two representatives of the students, Akin Moses and Chukwudi Gift, at the event said the donation would increase their “desire to dream bigger and concentrate better during lessons”.
Also speaking at the commissioning, COO at Asharami Synergy, Adekanmi Adesola, said, “What started as an opportunity to support the communities that host our operations has now come full circle. This donation directly impacts the lives of these students, and we are proud to bring smiles to the faces of the students and teachers.”
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