World Bank Unveils Revamp for Troubled $200 Million Skills Project in Nigeria

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The World Bank has acknowledged shortcomings in its flagship skills development project in Nigeria, IDEAS (Innovation Development and Effectiveness in the Acquisition of Skills), and announced a significant restructuring plan to boost its effectiveness.

Launched in 2018 with a $200 million grant, the project aimed to improve technical and vocational education (TVET) across the country. However, an internal report obtained by NRTC revealed challenges in achieving its objectives, prompting the World Bank’s response.

The project was approved on February 18, 2020, to enhance the capacity of the Nigerian skills development system to produce relevant skills for the formal and informal sectors.

Further findings by NRTC revealed that out of the $200 million, only about $34.88 million has been released by the World Bank. Due to the poor performance of the project, the World Bank has not released more funds, which are tied to meeting certain project criteria.

The report read:

“The Mid-Term Review (MTR) mission for the Project took place between October 3-28, 2023. The mission held meetings with the Federal Ministry of Education (FME), the six participating states (Abia, Benue, Edo, Ekiti, Gombe and Kano) and the selected federal and state technical colleges (TCs).

“The mission assessed the reasons for which the project has not performed as envisaged and identified adjustments and changes in project design, implementation arrangements, and resource allocations so that the project could remain relevant, be implemented effectively, and contribute to the country’s goal to produce skilled manpower for the formal and the informal sector.

“This fund aims to provide scalable and cost-effective skills training in priority trades, linking trainees with employers, and ensuring placement in wage employment or support for self-employment.”

In response to these setbacks, the World Bank’s restructuring of the project will involve significant adjustments. Some activities will be completed, while others will be cancelled.