The Nigeria Labour Congress (NLC) has accused the International Monetary Fund (IMF) and the World Bank of deepening poverty and hindering Nigeria’s development.
NLC President Joe Ajaero made the remarks at the 2025 global labour movement meeting held at the World Bank office, Washington, DC.
Ajaero criticized the financial institutions for imposing blanket austerity measures on developing nations and lending to unaccountable leaders.
He argued that such policies have only worsened poverty in Nigeria, urging a shift toward progressive tax systems that protect vulnerable populations.
As of February 21, 2025, Nigeria owed the IMF $306.8 million and received $2.25 billion in World Bank loans.
World Bank loans include:
- RESET: $1.5 billion for economic stabilization reforms.
- ARMOR: $750 million for resource mobilization reforms.
- HOPE-PHC: $570 million for strengthening primary healthcare.
- SPIN: $500 million to improve dam safety and irrigation.
- AGILE: $700 million for adolescent girls’ education
.
Ajaero stated Nigerians have not benefited from these loans, as they only deepen governance crises and increase debt.
He criticized Nigeria’s proposed tax policy taxing individuals earning N800,000 ($500) annually, describing it as regressive.
Ajaero stated IMF and World Bank influence perpetuates inequality, allowing wealthy corporations to evade taxes, burdening the poor.
