FG seeks fresh $1.5bn World Bank loan package as public debt climbs to ₦166.79tn

The Federal Government has initiated talks with the World Bank for three new loans totaling $1.5 billion for climate resilience, social protection, and early childhood development, even as Nigeria’s total public debt reached a record ₦166.79 trillion.

According to an official report by Punch Newspapers, the Federal Government has opened discussions with the World Bank to secure three separate $500 million concessionary loan facilities totaling $1.5 billion. The requested financing pipeline is earmarked for the Agro-Climatic Resilience in Semi-Arid Landscapes (ACReSAL) project, the Household Prosperity and Empowerment-Social Protection (HOPE-SP) initiative, and an early childhood development program.

The additional $500 million requested for ACReSAL will raise the project’s overall World Bank financing to $1.2 billion to combat desertification, land degradation, and climate vulnerability across 19 northern states and the Federal Capital Territory. Meanwhile, the proposed $500 million HOPE-SP credit aims to establish regular social safety nets for vulnerable households. The new borrowing talks come as official figures confirm Nigeria’s total public debt stock climbed to a historic peak of ₦166.79 trillion at the end of June 2026.