A financial statement published by the World Bank as placed Nigeria as the third to Bank’s International Development Association (IDA) as of June 30, 2024.
According to the financial statement, Nigeria’s exposure to IDA rose to $16.5 billion as at June 30, which is an increase of $2.2 billion, or 14.4% over $14.3 billion recorded at the end of 2023.
“The International Development Association (IDA), a vital component of the World Bank, provides concessional loans and grants to the world’s most impoverished nations. These loans aim to stimulate economic growth, reduce inequalities, and enhance living standards in developing countries, characterized by low interest rates and extended repayment periods.
As of June 30, 2024, the top ten countries with the highest IDA exposures accounted for 63% of the total. Bangladesh leads with $20.5 billion, followed by Pakistan with $17.5 billion, and Nigeria with $15.9 billion, surpassing India to secure the third position. Ethiopia, Kenya, and Vietnam follow with $12.2 billion, $12.0 billion, and $12.0 billion, respectively. The countries with the lowest exposures are Tanzania with $11.7 billion, Ghana with $6.7 billion, and Uganda with $4.8 billion
“The World Bank emphasizes the importance of monitoring IDA exposures in relation to the Single Borrower Limit (SBL), taking into account repayment profiles of existing loans, disbursement profiles, and projected new loans and guarantees.
In a related development, the Debt Management Office (DMO) reported a significant increase in Nigeria’s total public debt, rising to N121.67 trillion in the first quarter of 2024, up from N97 trillion in December 2023. According to the DMO, this increase is primarily attributed to new domestic borrowing by the federal government to partially finance the 2024 budget deficit, as well as disbursements from multilateral and bilateral lenders.”
“It is imperative that we acknowledge the pressing challenges facing our nation, which have led to the exploitation and humiliation of our people and workers. As leaders, it is our responsibility to address these issues and ensure that they do not perpetuate the pauperization of workers.
We must not collude with employers, whether public or private, to deprive workers of their rightful benefits. Any state council found to be complicit in such actions will face severe sanctions from Congress.
As we prepare for negotiations, it is crucial that we begin to organize and mobilize our efforts. We must remain vigilant, informed, and united to achieve a successful outcome. This workshop is a vital step in this process, and I believe that the same commitment and dedication that drove us at the national level will be evident in our collective efforts here.”
“This gathering presents an opportunity for us to convene, share expertise, and foster connections that will bolster our endeavors towards achieving a more favorable outcome than the 2019 cycle. Let us draw lessons from our past experiences and take comfort in our unwavering commitment to our cause, despite facing persecution from the state.
As Ajaero emphasized, “Our leadership is a divine mandate! We have been entrusted with this responsibility at this critical juncture in our nation’s history. We have remained resolute and true to our principles, and we expect the same from you. The success of this exercise will ultimately define us as heroes or betrayers in the eyes of the people we serve. The choice is ours.”
The debt office said the total domestic debt wa#65.65 trillion ($46.29 billion),while total external debt was #56.02 trillion ($42.12 billion).
