Former Vice President and African Democratic Congress presidential candidate Atiku Abubakar has criticised the Federal Government's plans to seek an additional $1.5 billion in proposed World Bank financing, calling for greater transparency over Nigeria's existing debt and the use of funds previously borrowed.
Atiku's position was contained in a statement issued on Monday by Phrank Shaibu, Director of Strategic Communications of the ADC Presidential Campaign Council, following reports that the Federal Government is discussing three proposed World Bank financing facilities worth a combined $1.5 billion.
The proposed financing consists of three separate $500 million facilities targeting climate resilience, social protection and early childhood development. The facilities are not yet a single approved and disbursed $1.5 billion loan, with the projects at different stages of the World Bank's preparation and approval process.
Atiku argued that the government should first provide Nigerians with a clear account of existing borrowings and demonstrate what previous loans had achieved before taking on additional obligations.
His criticism comes against the backdrop of Nigeria's public debt rising to N166.79 trillion as of June 30, 2026, according to figures from the Debt Management Office. The amount represented an increase of N14.39 trillion, or 9.44 per cent, compared with the N152.40 trillion recorded in June 2025.
Atiku said Nigerians had been asked to endure difficult economic measures on the expectation that the reforms would create fiscal space and support development. He questioned whether the benefits promised by the government had been sufficiently demonstrated to citizens.
The former vice president also called for greater clarity over how previous borrowings had been deployed, arguing that the government should account for the results achieved before contracting additional debt.
The proposed World Bank financing, however, is tied to specific development programmes rather than being presented as unrestricted funding for general government spending.
One of the facilities is an additional $500 million proposed for the Agro-Climatic Resilience in Semi-Arid Landscapes project, known as ACReSAL. The programme focuses on issues including land degradation, watershed rehabilitation, erosion and flood management, irrigation, water harvesting and other climate-resilience measures across 19 northern states and the Federal Capital Territory. The World Bank has tentatively scheduled October 29, 2026, for consideration of the additional financing.
Another proposed $500 million facility is for the Household Prosperity and Empowerment-Social Protection Project, which is designed to strengthen social protection programmes for poor and vulnerable households. The third proposed $500 million facility is for Nigeria's Early Childhood Development programme, targeting areas including health, nutrition, early learning, childcare, water and sanitation.
The three proposals therefore have different objectives and implementation arrangements. World Bank documents indicate that the ACReSAL financing is additional funding for an existing project, while the other two operations are separate programmes still undergoing preparation.
The proposed borrowing also comes as Nigeria's obligations to the World Bank Group have increased. Debt Management Office figures show that Nigeria owed the World Bank Group $20.73 billion as of June 2026, including $19.12 billion to the International Development Association and $1.61 billion to the International Bank for Reconstruction and Development.
Atiku's criticism is therefore focused on the government's borrowing strategy and accountability for existing debt, while the World Bank proposals themselves are linked to specific development programmes.
The Federal Government's pursuit of the financing has not yet resulted in the immediate disbursement of $1.5 billion. The proposed facilities must go through the World Bank's consideration and approval procedures before any funds can be released.
The debate over the proposals is likely to continue as Nigeria weighs the potential development benefits of concessional financing against concerns about the country's growing debt obligations and the effectiveness of government spending.
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