From Uche Usim, Washington DC
Nigeria has committed $500,000 to the African Regional Technical Assistance Centre in West Africa (AFRITAC West 2), as part of its efforts to bolster the human and institutional capacity required to navigate an increasingly complex global economy.
AFRITAC West 2 is an IMF-supported regional technical assistance centre aimed at strengthening economic institutions, fostering macroeconomic stability, and combating poverty across West African countries.
The contribution, formalised yesterday on the sidelines of the IMF/World Bank Spring Meetings in Washington DC, reflects a strategic shift toward investing in the “software” of economic growth: people, systems, and policy expertise.
AFRITAC West 2, which serves Cabo Verde, The Gambia, Ghana, Liberia, Nigeria, and Sierra Leone, entered its third phase in August 2024. The programme focuses on strengthening macroeconomic management, refining monetary policy frameworks, and improving financial sector supervision—areas widely regarded as critical to economic stability, particularly in a region exposed to external shocks and domestic fiscal pressures.
Nigeria’s renewed funding underscores its position not only as a beneficiary of the programme but as a key driver of its sustainability.
At a time when many economies are struggling with inflation, debt vulnerabilities, and reform fatigue, the emphasis on capacity building marks a deliberate pivot toward long-term resilience.
Catriona Purfield, Director of the IMF’s Institute for Capacity Development, stressed that Nigeria’s contribution should be viewed as an investment in people rather than a simple financial gesture.
“I want to thank you for Nigeria’s contribution to the AFRITAC West. Not only does this signal your deep commitment to the centre itself, but it also sends two other very important signals. One is the value that you place in investing in your people, and I’m not using contribution, I say investment, because it is investment in developing the capacity of our people in policy. And I think it does that.
“The second is that it really signals to those who also met us, who need these centres, our donor partners, that you are so committed to it. It is so important they see that. So, thank you for that.”
Her remarks reflect a key evolution in development thinking, where strengthening institutions and technical know-how is increasingly seen as the missing link between policy ambition and real-world outcomes.
Also speaking, IMF African Department Deputy Director, Montfort Mlachila, said Nigeria’s gesture sends a powerful message across the development landscape, reinforcing both ownership and credibility.
“On behalf of the African Department, I would like to most sincerely thank you for the half-million contribution to the centre. We really appreciate it and it shows your genuine commitment to the well-being of the centre, but also that you appreciate what you get from it, and more importantly, that you also appreciate the support that our development partners give us as well.
“And I was very impressed yesterday by your contributions, because you spoke from your heart on what you have benefited directly and what it means for you. And so for all this, sincerely, we appreciate it.”
For Nigeria, the timing is significant. As the country pushes through wide-ranging economic reforms and seeks to restore investor confidence, the need for credible policy execution and strong institutions has moved to the forefront of its agenda.
Olayemi Cardoso, Governor of the Central Bank of Nigeria, highlighted the practical impact of the collaboration, noting that the partnership has already begun to yield meaningful results.
He said, “We appreciate the opportunity to strengthen this collaboration and the commitment shown by all parties, particularly at a time as busy as the Spring Meetings. The progress so far has been encouraging, and we are pleased to build on this partnership, which continues to deliver real value. For us, this remains about investing in people and deepening capacity, and we look forward to sustaining the gains achieved.”
Beyond the immediate funding, Nigeria’s commitment is expected to expand AFRITAC West 2’s reach in delivering targeted technical assistance, from improving tax systems and public financial management to strengthening regulatory oversight in the financial sector.
In a region where policy missteps can carry high economic costs, experts say the bet on capacity is a calculated one, as durable growth will not come from funding alone but from the strength of the institutions and people tasked with managing it.
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