Nigeria’s cash transfer scheme reaches over 10 million households, World Bank urges broader reach and sustainability

Scale of the disbursement The Nigerian federal government announced that, as of September 2026, it had transferred a total of N658.9 billion to 10.46 million poor and vulnerable households. The figure was disclosed in the World Bank’s most recent Nigeria Development Update, which tracks the country’s social spending and its impact on household welfare.

How beneficiaries are identified Both the government and the World Bank report that the programme relies on biometric checks and digital verification to confirm eligibility and to deliver payments. This technology‑driven approach is intended to reduce fraud and ensure that funds reach the intended recipients promptly.

World Bank’s assessment The World Bank acknowledged the scale of the cash transfers but warned that the amount alone does not guarantee success. According to the bank’s analysis, the programme’s effectiveness will depend on three key factors: expanding the number of households covered, ensuring that the transferred sums are sufficient to meet basic needs, and maintaining a regular disbursement schedule. The institution also recommended that both federal and state authorities allocate dedicated budget resources to secure long‑term financing for the scheme.

Calls for a sustainable system Beyond immediate relief, the World Bank urged a transition from emergency‑type assistance to a more durable social protection framework. The bank’s recommendations include committing consistent budgetary allocations at both federal and state levels, gradually increasing funding, and integrating cash transfers into a broader safety‑net strategy that can better cushion households against economic pressures.

Context and challenges Previous reports have noted that, despite substantial government spending on social interventions in 2025, many vulnerable families remained unreached. Additional challenges cited include limited productive opportunities for beneficiaries, gaps in school readiness and weak learning outcomes, all of which can affect the pace of poverty reduction. The World Bank’s latest update therefore stresses that cash assistance should complement, rather than replace, longer‑term development measures.

Outlook If the recommended reforms are adopted, the cash transfer programme could evolve into a more reliable pillar of Nigeria’s social protection system. Continued monitoring and adjustments will be essential to ensure that the funds not only reach a larger share of the population but also provide consistent, adequate support that contributes to lasting improvements in household welfare.