Nigeria, China Sign $30m Grant for Grassroots Development Projects
The Federal Government of Nigeria has signed a $30 million grant agreement with China to support grassroots development projects aimed at improving living conditions, reducing poverty and expanding economic opportunities across the country.
The agreement, valued at 200 million Chinese yuan (approximately $30 million), was signed on Thursday, October 29, 2026, at the Federal Ministry of Budget and Economic Planning in Abuja.
The Minister of Budget and Economic Planning, Senator Abubakar Atiku Bagudu, and the Chinese Ambassador to Nigeria, Yu Dunhai, signed the agreement on behalf of their respective governments.
The grant will finance community-focused projects under China’s “Small but Beautiful” initiative, which prioritises small-scale interventions designed to deliver tangible results and directly improve the livelihoods of citizens.
Speaking at the signing ceremony, Bagudu said the partnership would help Nigeria address specific development challenges through targeted investments, knowledge exchange and institutional cooperation.
He disclosed that his ministry, working with the Nigeria-China Strategic Partnership Office, was reviewing project proposals submitted by state governments to identify interventions that would address pressing community needs.
The minister stressed the importance of ensuring that the agreement translates into measurable improvements in the lives of Nigerians rather than remaining a diplomatic commitment.
He also highlighted the Federal Government’s Renewed Hope Ward Development Plan, which seeks to identify economic opportunities across Nigeria’s 8,809 wards.
In his remarks, Ambassador Yu Dunhai reaffirmed China’s commitment to supporting Nigeria’s economic and social development, describing the grant as part of the longstanding partnership between both countries.
He also disclosed that bilateral trade between Nigeria and China reached $18 billion in the first half of 2026, while Nigeria’s exports to China increased by 80 per cent.
The ambassador encouraged Nigeria to maximise opportunities under China’s zero-tariff policy for Nigerian exports, which took effect on May 1, 2026, ahead of its scheduled expiration in May 2028.
Nigeria and China are marking 55 years of diplomatic relations in 2026, with both countries seeking to strengthen cooperation in trade, investment, technology and economic development.
The successful implementation of the grant will depend on transparent project selection, effective monitoring and accountability to ensure that the funds reach communities and deliver the intended benefits.
