World Bank Grants Nigeria Two-Year Extension for Digital Identity Project
The World Bank has approved a two-year extension for Nigeria’s ambitious Digital Identity for Development (ID4D) project, moving the deadline from December 31, 2024, to December 31, 2026.
The decision follows a request from the Nigerian government in May for a three-year extension, which was subsequently granted by the global lender. The new timeline is aimed at enabling Nigeria to meet its revised target of issuing 180 million National Identification Numbers (NINs).
Aiming for Inclusivity
In a document outlining the project’s restructuring, the World Bank acknowledged Nigeria’s progress, despite falling short of its initial target of 148 million NINs by June 2024.
“The government has successfully achieved this milestone, and, on this basis, the second stage extension for an additional 24 months is being proposed to allow for the completion of the remaining critical activities and the achievement of the project development objectives,” the bank stated.
As of October 2024, the National Identity Management Commission (NIMC) reported that 115 million NINs had been issued to Nigerian citizens and legal residents. Despite this achievement, significant gaps remain, particularly among women, persons with disabilities, and other disadvantaged groups, many of whom lack digital identification.
This disparity prevents millions from accessing essential government services, participating in the digital economy, and benefiting from financial inclusion initiatives.
Funding and Progress
The ID4D project is backed by a total investment of $430 million, with contributions of $115 million from the World Bank’s International Development Association (IDA), $100 million from the French Development Agency, and $215 million from the European Investment Bank.
So far, 53.16% of the funds have been disbursed, with significant progress noted in meeting the final condition for full disbursement. This involves amending the NIMC Act to create a more inclusive legal and regulatory framework.
The proposed amendments have already passed two readings in the National Assembly. The third and final reading is expected in January 2025, with the President anticipated to sign the Bill into law by February 2025.
Towards a Digital Future
The World Bank praised Nigeria’s efforts to close the digital identification gap through targeted enrolment drives aimed at vulnerable populations. With the revised target of 180 million NINs, the project aspires to bring more Nigerians into the fold of the digital economy, enhancing access to government services and fostering greater financial inclusion.
This extension, the Bank emphasised, will provide the critical time needed to complete the project’s objectives, ensuring its long-term success and impact on Nigeria’s development trajectory.
