As of June 30, 2024, Nigeria has ascended to the position of the third-largest debtor to the World Bank’s International Development Association (IDA), marking a significant milestone in the country’s borrowing history.
According to the World Bank’s financial statements, Nigeria’s debt exposure to the IDA increased by a substantial 14.4%, rising from $14.3 billion in the fiscal year (FY) 2023 to $16.5 billion in FY2024.
This $2.2 billion increase has propelled Nigeria into the top three IDA debtors for the first time, reflecting a notable shift from its previous position as the fourth-largest borrower in 2023.
The fiscal year 2024, spanning from July 2023 to June 2024, indicates that Nigeria has secured at least $2.2 billion in additional funding from the World Bank during the administration of President Bola Tinubu.
This borrowing is distinct from any outstanding loans Nigeria may have from the World Bank’s International Bank for Reconstruction and Development (IBRD), underscoring the country’s growing reliance on IDA funding.
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In the global landscape of IDA borrowers, Bangladesh continues to hold the position of the largest debtor, with its exposure increasing from $19.3 billion in 2023 to $20.5 billion in 2024. Pakistan remains the second-largest borrower, maintaining a stable exposure of $17.9 billion over the same period.
India, which was the third-largest borrower in 2023 with $17.9 billion in IDA exposure, experienced a decrease to $15.9 billion in 2024, allowing Nigeria to surpass it in the rankings.
Other significant IDA borrowers include Ethiopia, whose exposure grew from $11.6 billion in 2023 to $12.2 billion in 2024. Kenya and Vietnam both reported an exposure of $12.0 billion in 2024.
Along with Tanzania, Ghana, and Uganda, these countries make up the top ten IDA debtors, collectively accounting for 63% of the IDA’s total exposure as of June 30, 2024.
This shift in Nigeria’s position among IDA borrowers highlights the country’s increasing financial engagement with the World Bank and reflects broader trends in global development financing.