Categories: Business

World Bank Names Nigeria Among Nations With High Debt Risk

Nigeria was number five on the World Bank list.

 

The World Bank has listed Nigeria and nine other countries as nations with high-debt risk exposure. 

In a financial statement for the International Development Association (IDA) released on Monday, the World Bank pegged Nigeria at number five with a $11.7b IDA debt stock.

“As of June 30, 2021, the ten countries with the highest exposures accounted for 66% of IDA’s total exposure,” it explained in the document.

“IDA’s largest exposure to a single borrowing country, India, was $22 billion as of June 30, 2021. Monitoring these exposures relative to the SBL, requires consideration of the repayment profiles of existing loans, as well as disbursement profiles and projected new loans and guarantees.”

India tops the list with an IDA debt stock of $22b. Bangladesh – with $18.1b – is second and followed by Pakistan ($16.4b), and Vietnam with $14.1b.

Ethiopia, Kenya, Tanzania, Ghana and Uganda complete the top 10 list in that order.


RELATED: Why Nigeria’s Economy Is ‘Broken’ – Timipre Sylva

Billionaires List: Dangote Remains Africa’s Richest, Adenuga And Rabiu In Top 6

Dangote, Only Nigerian On Blomberg’s Billionaire List

Amazon Quarterly Profit Jumps But Shares Slide


 

“IDA faces two types of credit risk: country credit risk and counterparty credit risk,” the World Bank further explained.

“Country credit risk is the risk of loss due to a country not meeting its contractual obligations, and counterparty credit risk is the risk of loss attributable to a counterparty not honoring its contractual obligations. IDA is exposed to commercial as well as noncommercial counterparty credit risk.”

As of September 2020, Nigeria had taken a $31.98b worth of loans from the World Bank Group, International Monetary Fund (IMF), African Development Bank (AfDB), according to the Debt Management Office (DMO).

Emmanuel Egobiambu

Disqus Comments Loading...

Recent Posts

EFCC Arrests Five For Illegal Mining In Kwara, Recovers Three Truckloads Of Minerals

Recently, the EFCC has clamped down on illegal miners who have been operating without licence…

15 mins ago

Six Presumed Dead After Baltimore Bridge Collapse

President Joe Biden called the collapse a "terrible accident," and pledged to get the port…

1 hour ago

Argentina Roar Back To Beat Costa Rica 3-1 In Friendly

Argentina got back on level terms early in the second half with a superb equaliser…

1 hour ago

Four Bodies Found, Six Missing After Indonesia Landslide

Ten people were initially reported missing and dozens of homes were damaged, forcing hundreds to…

1 hour ago

Son Of Former Guinea-Bissau President Jailed In US For Drug Trafficking

Malam Bacai Sanha Jr, 52, planned to use the proceeds to finance a coup in…

1 hour ago

Four Sentenced To Death For 2013 Murder Of Tunisia Opposition Leader: Justice Official

Sentences ranging from two to 120 years were handed down to other defendants, while five…

2 hours ago