APM urges World Bank to halt new $1.5bn loans to Nigeria

The Allied Peoples Movement (APM) has urged the World Bank and other international lenders not to extend fresh credit to the federal government, following reports that Nigeria is seeking new financing facilities worth $1.5 billion from the multilateral lender.

The party, in a statement on Tuesday by its National Publicity Secretary, Abubakar Yusuf, said granting additional loans to the administration of President Bola Tinubu would further increase the country’s debt burden and mortgage the future of Nigerians.

The APM’s position comes as Nigeria’s total public debt rose to ₦166.79 trillion at the end of June 2026, according to the latest figures from the Debt Management Office (DMO). The figure represents an increase from ₦159.35 trillion recorded at the end of March. 

Three proposed World Bank facilities

The federal government is currently in discussions with the World Bank on three proposed financing facilities totalling $1.5 billion.

Documents from the World Bank indicate that the proposed financing consists of three separate $500 million facilities focusing on climate resilience, social protection and early childhood development. 

The most advanced proposal is an additional $500 million in financing for the Agro-Climatic Resilience in Semi-Arid Landscapes (ACReSAL) project. The World Bank is expected to consider the facility on 29 October.

If approved, the additional financing would increase ACReSAL’s total size from $700 million to $1.2 billion. The proposed financing is expected to support climate-resilience interventions, including measures to improve the livelihoods and resilience of vulnerable communities.

The other two proposed $500 million facilities target social protection and early childhood development. They are at different stages of preparation and have not yet become approved loans.

The distinction matters because the APM described the development as a fresh $1.5 billion credit the Tinubu administration is seeking. At the same time, the available project documents indicate the amount represents a pipeline of three proposed facilities rather than one approved disbursement.

APM raises concerns over debt accumulation

Mr Yusuf said the party was particularly concerned about what it described as the administration’s continued reliance on borrowing despite the increase in government revenues following the removal of the petrol subsidy.

“The APM strongly condemns the attempt by President Tinubu to further mortgage the future of millions of Nigerians with a fresh $1.5bn credit from the World Bank,” he said.

The party questioned the government’s ability to service its growing debt obligations and alleged that Nigerians had not seen sufficient benefits from previous borrowing.

It also accused the administration of diverting borrowed funds to private interests, an allegation the party did not substantiate with specific evidence in the statement.

The APM further blamed the government for the depreciation of the naira, rising taxes and increasing costs of electricity, transportation, food and healthcare.

The party described the administration as a “squandermaniac” government and accused the All Progressives Congress (APC) of exaggerating its performance ahead of the 2027 general elections.

Food insecurity

In its statement, the APM also linked the government’s borrowing plans to the worsening food crisis.

The party cited the World Food Programme (WFP), saying that about 35 million Nigerians face acute food insecurity in 2026.

The WFP has indeed projected that nearly 35 million Nigerians could face acute and severe food insecurity during the 2026 lean season. The agency said conflict, climate shocks, displacement and the deterioration of local food systems have driven the crisis. 

The situation is particularly difficult in the North-east. The WFP said nearly 5.8 million people in Borno, Adamawa and Yobe states are facing severe food insecurity in 2026, while 15,000 people in Borno are projected to face catastrophic hunger. 

The agency also warned in July that Nigeria’s food security crisis was worsening, with conflict driving hunger in parts of the North to levels not seen in almost a decade. 

However, the WFP figure cited by the APM refers to people facing acute or severe food insecurity. It does not support the party’s separate claim that more than 140 million Nigerians cannot afford their daily meals.

The opposition party called on the World Bank, International Monetary Fund (IMF), China, the United States and other international lenders to withhold fresh credit facilities from the Nigerian government.

“The APM, as a party committed to the well-being of Nigerians, restates its call to international financial bodies, including the World Bank, the International Monetary Fund and other international lenders such as China, the United States, among others, not to give any fresh credit to the Tinubu administration,” Mr Yusuf said.

The party argued that the administration should not incur additional obligations because it is approaching the 2027 election.

The APM also claimed that Nigerians had reached a consensus to vote out the APC government in the 2027 election. That is a political assertion by the party and was not supported by polling or other evidence in its statement.

The party said its presidential candidate, Seyi Makinde, would, if elected, focus on transparency, fiscal discipline, productive investment and better utilisation of public resources.

It also promised to revive the productive sector and pursue policies it said would improve living conditions.

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Debt rises to ₦166.79tn

The World Bank has continued to finance Nigeria under various programmes, including projects focused on economic reforms, social protection, infrastructure, health, education and climate resilience.

In 2024, the World Bank approved a $1.5 billion financing package for Nigeria under the Nigeria Reforms for Economic Stability and Economic Transformation Development Policy Financing programme. The package comprised a $750 million International Development Association (IDA) credit and a $750 million International Bank for Reconstruction and Development (IBRD) loan. 

The latest DMO data shows that Nigeria’s public debt stood at ₦166.79 trillion as of 30 June 2026. The DMO released the June debt position on 25 September. 

The debt stock had stood at ₦159.35 trillion at the end of March, meaning the latest figure represents an increase of about ₦7.44 trillion within three months.

The proposed World Bank facilities would add to existing obligations to the multilateral lender.