Nigeria Ranks 3rd In World Bank’s IDA Debt

Nigeria has emerged as the third-largest debtor to the World Bank’s International Development Association (IDA), following a significant increase in borrowing under President Bola Tinubu’s administration. As of June 30, 2024, Nigeria’s exposure to the IDA has risen by 14.4%, from $14.3 billion in the fiscal year 2023 to $16.5 billion in fiscal year 2024, an increase of $2.2 billion.
This marks the first time Nigeria has ranked among the top three IDA debtors, moving up from its previous position as the fourth-largest borrower in 2023. The shift comes as the country grapples with rising external debt servicing costs and seeks additional funding to support its economic development efforts.
Bangladesh remains the largest debtor to the IDA, with its exposure increasing from $19.3 billion in 2023 to $20.5 billion in 2024, followed by Pakistan, which maintains its second position with $17.9 billion. India, which was the third-largest borrower in 2023, saw its exposure decrease to $15.9 billion in 2024, allowing Nigeria to surpass it.
Other significant IDA borrowers include Ethiopia, Kenya, and Vietnam, with exposures of $12.2 billion and $12 billion respectively in 2024. Collectively, the top ten IDA debtors, including Tanzania, Ghana, and Uganda, account for 63% of the association’s total exposure as of June 30, 2024.
The IDA, a key arm of the World Bank, provides concessional loans and grant