Nigeria is the third largest debtor to the World Bank’s International Development Association as of June 30, 2024, following a significant increase in its borrowing from the institution.
A financial statement dated June 30, 2024 but recently made public and obtained by our correspondent on Tuesday disclosed this.
The IDA, a key arm of the World Bank provides concessional loans and grants to the world’s poorest countries. These loans, characterised by low interest rates and extended repayment periods are designed to promote economic growth, reduce inequalities and improve living conditions in developing nations.
According to the World Bank’s latest financial statements, Nigeria’s exposure to the IDA surged by 14.4 percent, rising from $14.3bn in fiscal year 2023 to $16.5bn year 2024.
This $2.2bn increase marks Nigeria’s first appearance among the top three IDA debtors, up from its previous position as the fourth largest borrower in 2023.
During the fiscal year from July 2023 to June 2024, Nigeria received at least $2.2bn in new loans from the IDA under the administration of President Bola Tinubu.
This borrowing does not include any outstanding loans from the World Bank’s International Bank for Reconstruction and Development which is separate from the IDA.
