Nigeria Ranks Third Among World Bank's Largest Debtors with $16.5 Billion Owed to IDA

Written on 05/09/2024

LeadershipNG

Nigeria has become the third largest debtor to the World Bank’s International Development Association (IDA) as of June 30, 2024, reflecting a notable increase in the nation's borrowing.

Under President Bola Tinubu's administration, Nigeria's exposure to the IDA surged by 14.4%, rising from $14.3 billion in the fiscal year 2023 to $16.5 billion in FY2024.

This development signifies a significant shift in Nigeria’s financial landscape, with a growing reliance on international financial institutions.

This $2.2 billion increase in borrowing has propelled Nigeria into the top three IDA debtors for the first time, moving up from its previous position as the fourth-largest borrower in 2023.

The fiscal year 2024 spans from July 2023 to June 2024, during which Nigeria received at least $2.2 billion from the World Bank.

This period aligns with President Tinubu’s administration, underscoring the growing reliance on international financial support amid domestic economic challenges.

Notably, this debt pertains exclusively to the IDA and is separate from any outstanding loans Nigeria has with the World Bank’s International Bank for Reconstruction and Development (IBRD).