Nigeria and China have signed a 200 million RMB (about N41 billion) grant agreement to finance community-based development projects aimed at improving livelihoods and addressing local needs across the country.
The agreement, which is expected to support what both countries described as “small but beautiful” projects, was signed in Abuja on Thursday by the Minister of Budget and Economic Planning, Senator Abubakar Atiku Bagudu, and the Chinese Ambassador to Nigeria, Yu Dunhai.
The initiative is designed to fund relatively small-scale projects requiring modest investments but capable of delivering direct and immediate benefits to communities.
The grant represents part of the outcomes of the Forum on China-Africa Cooperation (FOCAC) Summit and recent bilateral engagements between President Bola Tinubu and Chinese President Xi Jinping.
Speaking at the signing ceremony, Bagudu said the Federal Government would align the projects with its newly completed economic mapping of Nigeria’s 8,809 wards to ensure that interventions address the specific needs of communities.
He said Nigeria would also draw lessons from China’s targeted poverty eradication model in implementing the projects.
“Our responsibility is now to translate this commitment into tangible benefits for all Nigerians,” the minister said, expressing appreciation to the Chinese government for its support.
Bagudu said the government was committed to ensuring that the grant translated into practical development outcomes rather than remaining a diplomatic commitment.
In his remarks, Dunhai said the funding was provided without political conditions and reaffirmed China’s respect for Nigeria’s sovereignty and development priorities.
He also highlighted the economic benefits of China’s zero-tariff policy, saying Nigerian exports to China increased by 80 per cent in the first half of 2026 following the implementation of the policy earlier in the year.
The ambassador said the agreement reflected the growing cooperation between both countries and their shared commitment to expanding economic and development partnerships.
The signing also coincides with the 55th anniversary of diplomatic relations between Nigeria and China.
Both countries reaffirmed their commitment to strengthening bilateral relations through development cooperation, increased trade and initiatives aimed at supporting Nigeria’s long-term economic growth.
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