FG Opens Talks With World Bank for Fresh $1.5bn Loans as Public Debt Hits N166.79tn
By Aboki Forex —
The Federal Government has opened discussions with the World Bank for three new loans totalling $1.5bn. The move comes as Nigeria's public debt climbed to a record N166.79tn at the end of June 2026.
Documents obtained from the World Bank show the proposed financing is made up of three separate $500m facilities for climate resilience, social protection and early childhood development.
Three $500m facilities on the table
Each of the three proposed loans carries a $500m ticket, according to the World Bank documents. They cover climate resilience, social protection and early childhood development.
The most immediate is a proposed $500m additional financing for the Agro-Climatic Resilience in Semi-Arid Landscapes project, known as ACReSAL.
ACReSAL set to hit $1.2bn
The World Bank has fixed October 29, 2026, as the estimated date for consideration by its board.
The borrower is the Federal Republic of Nigeria. The Federal Ministry of Environment is the implementing agency.
The fresh financing would raise the size of ACReSAL from its previously approved $700m to $1.2bn. The project is entirely financed through the International Development Association, the World Bank's concessional financing arm.
What it means for Nigeria
The talks add to a debt stock that already stood at N166.79tn by June 2026. Concessional terms from the IDA are cheaper than commercial borrowing, but the new facilities will still add to the country's obligations if the board approves them in October.