The Federal Government has entered into a $30m grant agreement with China to support community-based development projects across the country. The partnership aims to cut down poverty, enhance everyday livelihoods, and boost economic activities at the local level.
The deal, valued at RMB200m, was formally executed in Abuja at the Federal Ministry of Budget and Economic Planning, according to Punch. The funding comes under China’s "small but beautiful" initiative, which focuses on targeted community interventions that deliver direct improvements to ordinary citizens.
Speaking during the signing event, the Minister of Budget and Economic Planning, Abubakar Bagudu, noted that the collaboration aligns with the country's development agenda. He explained that the ministry is collaborating with the Nigeria–China Strategic Partnership Office to assess proposals submitted by state governments for specific community needs.
Bagudu also linked the funding to the administration's Renewed Hope Ward Development Plan, which covers 8,809 wards across Nigeria. He stressed that the goal is to deliver real, measurable results for underserved populations rather than leaving deals as mere diplomatic talk.
The Chinese Ambassador to Nigeria, Yu Dunhai, stated that the grant reflects agreements reached during previous discussions between President Bola Tinubu and Chinese President Xi Jinping. He noted that bilateral trade between both nations reached $18bn in the first half of 2026, supported by an 80 percent surge in Nigerian exports following a zero-tariff policy introduced on May 1, 2026.
Dunhai reminded officials that the duty-free arrangement is set to expire on May 1, 2028, and urged both nations to finalize a long-term economic agreement. The signing coincides with the 55th anniversary of diplomatic ties between Nigeria and China.
