WORLD BANK APPROVES $500 MILLION FOR NIGERIA TO TACKLE FLOODING RESTORE FARMLAND AND REDUCE FARMER HERDER CONFLICTS

The World Bank has approved an additional $500 million in financing for Nigeria to expand one of the country’s largest climate resilience and land restoration programmes, with the new funding aimed at reducing flood risks, rehabilitating degraded agricultural land, improving water management and easing competition over natural resources that has contributed to conflicts between farmers, herders and rural communities. The financing will be channelled through the Agro-Climatic Resilience in Semi-Arid Landscapes Project, commonly known as ACReSAL, and will cover all 19 northern states as well as the Federal Capital Territory. By 2031, the programme is expected to restore or improve the management of about 1.4 million hectares of land and directly or indirectly benefit approximately 6.6 million people.

The new financing significantly expands a programme that has been operating since 2022 and has already become one of Nigeria’s most important interventions in climate adaptation, natural resource management and rural development. The World Bank says ACReSAL has introduced sustainable landscape management practices across roughly 550,000 hectares and reached more than 4.4 million beneficiaries since implementation began. The latest funding is intended to move the project from smaller scale interventions and institutional planning toward much larger investments capable of producing measurable improvements in water security, agricultural productivity, flood protection and rural incomes.

Northern Nigeria faces some of the country’s most severe environmental pressures. Desertification, declining soil fertility, erosion, irregular rainfall, flooding and increasing competition over water and grazing land have placed enormous pressure on communities whose livelihoods depend on agriculture and livestock. These environmental challenges have become more serious as climate change alters rainfall patterns and increases the frequency of extreme weather events, making already fragile rural economies more vulnerable.

The World Bank says the additional financing is designed to address those problems as connected rather than separate challenges. Degraded land can reduce crop yields, forcing farmers to cultivate larger areas or move into land traditionally used for grazing. Water shortages can push herders toward farming communities, increasing the possibility of disputes. Flooding can destroy crops, homes and roads, while erosion can permanently remove productive soil and leave communities with fewer economic options.

ACReSAL is intended to intervene across all of these areas simultaneously. The programme combines land restoration, watershed management, flood and erosion control, water infrastructure, climate resilient agriculture, institutional strengthening and community level peacebuilding. The World Bank’s approach is based on the idea that environmental restoration can improve both economic conditions and social stability when rural communities have more reliable access to productive land and water.

The latest $500 million approval comes after the Nigerian government asked the World Bank to expand the existing programme because of what officials describe as strong early results. Earlier project documents showed that the additional financing would raise the overall value of ACReSAL substantially and allow state governments to move from pilot activities into larger investments covering entire landscapes and catchment areas.

The project’s geographical reach is significant because it spans Nigeria’s entire northern belt. The 19 states include areas in the North West, North East and North Central regions where agriculture remains one of the main sources of employment and income. The Federal Capital Territory is also included because rural communities around Abuja face many of the same challenges involving land degradation, flood risk, water access and competition over natural resources.

One of the biggest components of the expanded programme will be land restoration. Years of overgrazing, deforestation, unsustainable cultivation, erosion and climate stress have damaged large areas of soil across northern Nigeria, reducing agricultural productivity and making communities more vulnerable to drought and floods. Restoring these landscapes can involve reforestation, controlled grazing, soil conservation, planting of grasses and trees, improved irrigation and techniques designed to retain moisture in dry areas.

In some ACReSAL project locations, farmers have already been using regenerative agriculture techniques designed to rebuild soil and conserve water. One example is the use of half moon earth structures in semi arid areas, where curved pits are dug into the soil to capture rainwater and reduce runoff. These relatively simple interventions can help restore vegetation and improve productivity in areas where rainfall is limited and highly seasonal.

The expanded funding is expected to scale up similar approaches across larger areas. Rather than treating isolated farms, the programme is designed to work across wider landscapes so that water, soil, vegetation and human activity are managed together. This approach is particularly important because environmental problems do not stop at administrative boundaries.

Watershed rehabilitation is another major element of the programme. A watershed is the area of land that drains rainfall into a river, stream or other body of water. When vegetation is removed and soil becomes degraded, rainwater can flow rapidly across the surface, causing erosion and increasing the risk of destructive floods.

By restoring vegetation, stabilising riverbanks and improving drainage, the programme aims to slow runoff and allow more water to soak into the ground. That can reduce flooding while also improving groundwater recharge and making more water available during dry periods.

Flooding has become one of Nigeria’s most destructive recurring disasters. Communities across the north and other parts of the country regularly experience damage to homes, farms, roads and public infrastructure during the rainy season. In severe years, floods have displaced hundreds of thousands of people and caused major agricultural losses.

The World Bank says the expanded ACReSAL programme will strengthen erosion and flood management in vulnerable communities. Investments could include drainage systems, restored waterways, reinforced riverbanks and nature based solutions that reduce the speed and volume of floodwater.

The emphasis on natural solutions is important because conventional flood control infrastructure alone can be expensive and difficult to maintain. Restoring wetlands, vegetation and healthy soil can complement engineered drainage systems and provide protection while also improving biodiversity and agricultural productivity.

Agriculture remains at the centre of the programme because rural livelihoods across northern Nigeria depend heavily on farming. When soil fertility declines or water becomes unreliable, crop yields fall and families can lose income. Low productivity can also contribute to food price increases and deepen poverty.

The World Bank expects the additional financing to improve soil health and agricultural productivity by helping farmers adopt more resilient methods. These can include water harvesting, improved irrigation, soil conservation, crop diversification and agroforestry, where trees are combined with farming to provide shade, improve soil and reduce erosion.

Water harvesting is particularly useful in semi arid areas because rainfall may arrive in short, intense periods rather than being evenly distributed throughout the season. Capturing and storing some of that water can allow farmers to extend the growing season and reduce dependence on rainfall alone.

Improved irrigation and drainage will also be important. In some areas, farmers struggle because there is too little water, while in others crops are damaged by waterlogging and poor drainage. The project aims to address both problems through better management of available water resources.

The relationship between land degradation and farmer herder conflict is another major reason the World Bank is expanding the programme. Nigeria has experienced repeated violence between farming communities and pastoralists, particularly in areas where population growth, climate pressure and changing land use have reduced the amount of available grazing land and water.

These conflicts are complex and cannot be explained by climate change alone. Political disputes, criminal violence, ethnicity, land ownership and weak security institutions all play important roles. However, pressure on natural resources can increase tension by forcing different communities to compete for the same land, water and livestock routes.

ACReSAL includes peacebuilding and community engagement initiatives designed to reduce those pressures. The programme works with farmers, herders, women’s groups, local leaders and government officials to develop shared plans for managing natural resources.

The idea is that communities are less likely to clash when access to water, grazing areas and farmland is clearly organised and when there are local mechanisms for resolving disputes before they become violent. Community participation is therefore a central part of the project rather than an optional addition.

The programme is also intended to create jobs and improve rural incomes. Environmental restoration requires labour for planting, erosion control, irrigation construction and land management, while improved agricultural productivity can increase household earnings over time.

The World Bank says stronger rural livelihoods can help reduce vulnerability by giving households more reliable sources of income. When farming becomes less productive and climate shocks destroy crops repeatedly, young people may migrate or become more vulnerable to recruitment by criminal or armed groups.

Improving economic opportunities is therefore seen as part of the wider stability objective. Communities that have productive land, access to water and functioning local economies may be better positioned to withstand environmental and security shocks.

The additional financing is being implemented through Nigeria’s Federal Ministry of Environment in collaboration with the Federal Ministry of Water Resources and Sanitation and the Federal Ministry of Agriculture and Food Security. That multi ministry structure reflects the fact that climate resilience, water and agriculture are closely connected.

State governments also play a major role because many interventions take place at local level. ACReSAL has state project management units that coordinate activities and work with communities to identify priority investments.

The World Bank says one of the programme’s achievements since 2022 has been strengthening local institutions responsible for natural resource management. That institutional capacity is important because infrastructure can deteriorate quickly if nobody is responsible for maintenance or if communities are excluded from decision making.

The new funding is therefore not limited to physical construction. Part of the financing will support planning, technical capacity, monitoring and stronger institutions that can sustain environmental restoration after World Bank financing eventually ends.

Earlier project preparation documents indicated that the additional $500 million would be divided broadly among dryland management, community climate resilience and institutional strengthening. The largest portion was expected to support landscape and dryland interventions, reflecting the enormous scale of degradation across northern Nigeria.

Community resilience funding is expected to finance projects that communities themselves identify as priorities. These may include small water systems, land restoration, local infrastructure or other interventions that directly improve resilience to climate shocks.

Institutional funding will support government agencies responsible for planning, monitoring and implementation. Strong oversight will be essential because the programme spans 20 jurisdictions and involves hundreds of individual interventions.

Transparency will therefore be one of the major challenges. Large development programmes can struggle when procurement is weak, projects are poorly monitored or funds do not reach intended communities. The World Bank and Nigerian authorities will face pressure to demonstrate that the additional financing produces measurable improvements rather than becoming absorbed by administrative costs.

The scale of the programme creates both opportunity and risk. Restoring 1.4 million hectares by 2031 would represent a major environmental achievement, but it will require coordination across states with very different climates, security conditions and institutional capacity.

Some northern states are affected by insurgency, banditry or other forms of insecurity that can restrict access to rural communities. Project teams may have difficulty working in areas where staff cannot travel safely or where infrastructure is repeatedly damaged.

Security concerns can also displace farmers and herders, changing land use patterns and making long term planning more difficult. The success of ACReSAL will therefore depend partly on wider improvements in security that lie outside the World Bank project itself.

Climate change adds another layer of uncertainty. Rainfall patterns can vary significantly from year to year, and extreme weather can damage newly restored landscapes before they become fully established.

That is why the programme focuses on resilience rather than simply reconstruction. The objective is to build systems capable of coping with future climate shocks rather than restoring landscapes to exactly how they existed in the past.

The World Bank has warned that climate change could impose significant costs on Nigeria’s economy if adaptation is delayed. Earlier project documents estimated that failure to address climate risks could reduce economic output substantially over coming decades.

Agriculture is particularly exposed because so much production depends on rainfall. When the rainy season begins late, ends early or produces extreme floods, farmers can lose an entire year’s income.

That vulnerability affects national food security. Northern Nigeria produces large quantities of grains, vegetables and livestock consumed across the country, meaning environmental damage in the region can contribute to food shortages and higher prices nationwide.

Restoring agricultural landscapes therefore has consequences beyond individual rural communities. Higher productivity can increase food supply and reduce pressure on consumer prices.

The project’s focus on water management is similarly important for livestock production. Herders require reliable water and grazing conditions, and shortages can force pastoral groups to move longer distances.

Those movements sometimes bring livestock into cultivated areas, damaging crops and creating disputes. Expanding water points and restoring grazing landscapes can reduce some of that pressure when projects are designed together with local communities.

The World Bank expects the programme to reduce farmer, herder and community conflicts, but the wording is important. Environmental interventions can lower competition over resources, but they cannot by themselves resolve all the political and security causes of violence.

Success will therefore depend on local governance, security, justice systems and broader peacebuilding efforts. ACReSAL can reduce one source of pressure without replacing the need for effective government institutions.

The project also includes a significant social dimension. Women often play major roles in agriculture, water collection and household food security but may have limited influence over land and resource decisions.

Community engagement programmes are designed to include women and other groups whose voices may otherwise be overlooked. Their participation can improve project design because they often have detailed knowledge of local water sources, farming practices and household needs.

Young people are another priority because rural unemployment can encourage migration to cities. Climate resilient agriculture and restoration projects can create opportunities for young workers in farming, forestry, irrigation and environmental services.

The challenge will be making those jobs sustainable beyond temporary project construction. Long term employment depends on productive agriculture, processing businesses and functioning rural markets.

Improved roads and market access may therefore become important complementary investments even where they are not the main focus of ACReSAL. Farmers can produce more, but they still need reliable ways to transport goods to buyers.

Nigeria’s wider infrastructure and agricultural policies will influence whether the gains from land restoration are fully realised. Climate resilience works best when it is connected to storage, processing, finance and market access.

The programme could also contribute to Nigeria’s broader environmental commitments. Reforestation and restoration can increase vegetation cover and help store carbon, while healthier soils can retain more moisture and support biodiversity.

These benefits matter internationally because Nigeria is under pressure to strengthen its response to climate change while also pursuing economic development. Large restoration programmes provide one way to combine environmental objectives with rural livelihoods.

The World Bank’s Country Director for Nigeria, Mathew Verghis, said the project has shown that investments in climate resilient landscapes can improve livelihoods while strengthening food and water security. He said the additional financing will allow Nigeria to expand interventions that have already demonstrated positive results and strengthen institutions capable of sustaining them.

ACReSAL Task Team Leader Iganya Joy Agene said the next phase will focus on turning the planning and institutional foundations already created into larger investments. The objective, according to the World Bank, is to improve climate adaptation, food security, water security, jobs and economic opportunities simultaneously.

The financing nevertheless adds to Nigeria’s growing World Bank debt exposure. PUNCH reported that the country’s outstanding debt to the institution increased from approximately $14.34 billion in March 2023 to about $20.73 billion by the end of June 2026.

That increase will ensure the latest $500 million approval also attracts scrutiny from lawmakers and economic analysts concerned about rising external debt. The World Bank is Nigeria’s largest multilateral creditor, meaning new borrowing is increasingly examined not only for development impact but also for its implications for debt sustainability.

The structure of World Bank development financing matters in that debate. ACReSAL has been financed through the International Development Association, the concessional arm of the World Bank that provides lower cost and longer maturity financing than conventional commercial loans.

Concessional financing can reduce repayment pressure compared with market borrowing, but it remains public debt that must eventually be repaid. The economic case for borrowing therefore depends heavily on whether the project generates long term benefits that exceed the financing costs.

If ACReSAL reduces flood damage, improves crop yields and prevents land degradation, the economic benefits could be substantial. Avoided disasters can save government and households billions of naira that would otherwise be spent on emergency response and reconstruction.

Higher agricultural productivity can also increase incomes and food supply, while reduced conflict can protect lives, livestock and property. Those outcomes can generate returns that are not always captured by direct project revenue.

The challenge will be measuring those benefits accurately. Governments and development institutions will need reliable data showing how much land was restored, how flood risk changed, whether farm incomes improved and whether conflict declined in project areas.

The World Bank has already highlighted the project’s achievement in reaching more than 4.4 million people and applying sustainable land management practices across hundreds of thousands of hectares. The expanded programme will need to demonstrate even larger results over the next five years.

Flood control is likely to remain one of the most visible indicators of success. Communities that repeatedly experience flooding will judge the programme by whether homes, farms and roads become safer during heavy rainfall.

Farmers will judge it by crop yields, access to water and soil quality. Herders will judge it by the availability of grazing and water resources, while local governments will look at whether disputes and displacement decline.

These different expectations make implementation complex. A project that improves farming conditions but ignores pastoral needs could unintentionally increase conflict, while a water project that benefits one community at another’s expense could create new tensions.

Integrated planning is therefore central to the programme’s design. Communities are expected to participate in decisions about how land and water are managed and which investments should be prioritised.

The World Bank describes this as landscape level planning because environmental systems often extend across multiple communities. Rivers, grazing routes and erosion channels do not follow local government boundaries.

A watershed project may therefore require cooperation among several communities and different levels of government. This can be difficult but is necessary if interventions are to produce lasting results.

Nigeria’s population growth makes the challenge more urgent. More people means greater demand for food, land, water and energy, while climate change is making some resources less predictable.

Without improved management, competition will intensify. The World Bank’s intervention is intended to reduce that pressure before environmental decline becomes even more severe.

Land restoration can also support resilience against desertification. In parts of northern Nigeria, vegetation loss and soil degradation allow the desert to expand gradually into areas previously used for farming and grazing.

Replanting trees and grasses can help stabilise soil and reduce wind erosion. Combined with better grazing management, these measures can slow degradation and protect productive land.

The project also has implications for Nigeria’s wider food inflation challenge. Environmental shocks can reduce harvests and push prices higher, particularly when floods destroy farms in major producing regions.

Improving resilience cannot eliminate food inflation, which is also affected by insecurity, transport costs, exchange rates and energy prices, but stronger agricultural systems can reduce one major source of supply disruption.

The same principle applies to rural poverty. Farmers cannot build stable incomes if they lose crops repeatedly to floods or droughts.

Climate resilience therefore becomes an economic development strategy rather than simply an environmental programme. The World Bank’s decision to provide another $500 million reflects that broader approach.

The additional financing also suggests confidence in the results achieved under the project’s first phase. Development institutions generally expand programmes when earlier investments demonstrate sufficient progress and when governments show capacity to implement larger interventions.

That confidence will now be tested by scale. Moving from 550,000 hectares under sustainable management toward a 1.4 million hectare target is a major expansion.

The project must also reach millions of additional beneficiaries while ensuring communities understand what is being built and how it should be maintained. Infrastructure that communities do not own or manage effectively can deteriorate quickly once contractors leave.

Capacity building will therefore remain important throughout the programme. Local governments, farmers’ groups and water users need technical knowledge to manage restored landscapes over the long term.

Monitoring will also have to continue after physical construction ends. Tree planting, for example, should not be counted as successful restoration simply because seedlings were planted. Survival rates and long term vegetation health matter far more.

Similarly, irrigation projects should be judged by whether farmers actually have reliable water and whether systems remain functional after several seasons. Measuring outcomes rather than activities will determine whether the programme delivers lasting value.

The $500 million approval comes at a time when Nigeria is seeking additional World Bank financing for several other development programmes. That broader borrowing programme has intensified debate over how effectively international development loans are being used.

Supporters argue that Nigeria requires substantial investment in infrastructure, climate resilience, healthcare and social programmes and that concessional multilateral financing can be cheaper than borrowing from commercial markets. Critics argue that debt should not continue increasing without stronger evidence that previous loans have delivered visible results.

ACReSAL will therefore operate under significant public scrutiny. Communities benefiting from the project will expect practical improvements while taxpayers and lawmakers will demand accountability for how the financing is used.

The project has the potential to produce substantial benefits if implementation remains focused on its stated objectives. Restored farmland can increase food production, better watersheds can reduce flood damage and improved access to water can ease some of the resource pressures that contribute to rural conflict.

The most ambitious aspect of the programme is that it attempts to address environmental, economic and social problems together. Rather than treating flood control, agriculture and conflict prevention as separate sectors, ACReSAL assumes they are interconnected.

That assumption reflects the realities facing many rural communities in northern Nigeria. A farmer losing soil to erosion is facing an environmental problem and an economic problem at the same time. A herder struggling to find water is facing a climate challenge that can become a security problem when livestock move into cultivated land.

By improving the resource base, the World Bank and Nigerian government hope to reduce some of the pressures that make those disputes more likely. Whether the programme can achieve that at the scale envisioned will become clearer as the additional financing is deployed.

For now, the targets are substantial. By 2031, the expanded programme aims to restore or improve management across 1.4 million hectares, improve water and flood management and reach approximately 6.6 million people.

Those figures make the intervention one of the largest climate resilience investments currently operating in northern Nigeria. Its success could influence how the country approaches land degradation and rural climate adaptation for years to come.

For communities living with recurring floods, declining soil fertility and competition over land and water, however, the most important measure will not be the size of the World Bank financing. It will be whether farms become productive again, water becomes more reliable, homes become safer from flooding and families can earn a living without being driven into conflict over shrinking natural resources.

The $500 million approval gives Nigeria significantly more financial capacity to pursue those goals. The next challenge is translating that financing into visible improvements across the 19 northern states and the Federal Capital Territory before 2031.