FG secures $25.35m loan from Kuwait to address out-of-school crisis in Kaduna

The Federal Government of Nigeria has secured a $25.35 million concessionary loan from the Kuwait Fund for Arab Economic Development to support a landmark education initiative aimed at reducing the number of out-of-school children in Kaduna State.

The loan, signed on behalf of the Kaduna State Government, forms part of a broader $62.8 million blended financing package supported by international partners to expand access to quality and inclusive education, particularly in vulnerable and underserved communities.

In a statement issued on Tuesday by the Director of Information and Public Relations at the Federal Ministry of Finance, Mohammed Manga, the facility will finance the Reaching Out-of-School Children programme — an ambitious initiative targeting over 100,000 children, including girls, internally displaced persons, and children with disabilities.

“In a significant step towards improving access to quality education in Nigeria, the Federal Government and the Kuwait Fund for Arab Economic Development have partnered to support the Reaching Out-of-School Children programme in Kaduna State,” the statement read.

“This partnership is built on a $25.35 million concessionary loan agreement signed today between the Federal Government of Nigeria, on behalf of Kaduna State, and the Kuwait Fund for Arab Economic Development.”

The intervention will see the construction of 102 new climate-resilient schools and the rehabilitation of 170 existing schools and learning centres. The programme is also designed to improve the learning environment, enhance teacher capacity, and prioritise access for marginalised populations in hard-to-reach areas.

Speaking during the signing ceremony, the Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun — represented by the Minister of State for Finance, Dr. Doris Uzoka-Anite — said the initiative reflects the government’s resolve to deliver transparency, accountability, and measurable results in social investments.

“With millions of children still out of school, particularly in northern Nigeria, each dollar of intervention must translate into real and visible progress,” he said.

He commended Kaduna State for its proactive leadership and timely fulfilment of counterpart funding, describing the state’s role as “a model for replication across other states.”

Kaduna State Governor, Uba Sani, also reaffirmed his administration’s prioritisation of education, revealing that the state had increased the sector’s allocation in the 2025 budget to 26% and already contributed $1 million as its share of the funding.

Director-General of the Kuwait Fund, Dr. Wahid Al-Bahar, hailed the programme as “an investment in hope,” emphasising that success will be measured not just by infrastructure, but by improved enrolment, learning outcomes, and community engagement.

Other contributors to the financing structure include the Islamic Development Bank ($10.5 million loan), the Global Partnership for Education ($15.45 million grant), the Education Above All Foundation ($10 million grant), Save the Children International ($0.5 million technical assistance), and Kaduna State’s $1 million contribution.

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