UN Deputy SG Amina Mohammed calls for debt solutions for Nigeria, Africa to unlock development 

Speaking at the 4th United Nations Economic and Social Council (UNECOSOC) International Conference on Financing for Development in Seville, Mohammed emphasized the urgent need to restructure Africa’s debt burden and create mechanisms that facilitate long-term economic stability.

The call became necessary as there is a rise in both local and global debts.

Nigeria’s total public debt skyrocketed to N144.67 trillion ($94.23 billion) as of December 31, 2024, marking a 48.58% increase compared to N97.34 trillion ($108.23 billion) recorded in December 2023.

Mohammed reiterated the need for urgent debt relief, stating, “It’s time to lift the weight of unsustainable debt off Africa’s shoulders.”  

She emphasized that addressing debt issues would unlock development finance and pave the way for meaningful progress in critical sectors.

The International Monetary Fund (IMF) recently warned that global public debt may surpass 100% of GDP by 2030, urging emerging economies to implement stronger fiscal policies to stabilize their economies.

“To foster sustainable growth, we must mobilize public and private finance and leverage affordable funding from diverse actors—bilateral donors, Multilateral Development Banks, and non-traditional partners,” he said.

Nigeria’s total debt to the World Bank grew by $2.36 billion in 2024, largely due to six newly approved loans targeting healthcare, rural infrastructure, governance, and fiscal reforms.

This pushed Nigeria’s total debt to the World Bank, from the International Development Association (IDA) and International Bank for Reconstruction and Development (IBRD), from $15.45 billion in 2023 to $17.81 billion in 2024.

DMO data revealed that:

The World Bank remains Nigeria’s most significant multilateral creditor, underscoring the country’s dependence on external financing for developmental projects.

As of December 2024, external debt constituted 48.59% of Nigeria’s total public debt, while domestic debt made up 51.41%, indicating a relatively balanced debt structure.

Mohammed’s call for global debt restructuring aligns with broader efforts to reform international financing mechanisms and enable African economies to invest in sustainable growth.

As global stakeholders continue to deliberate on solutions, addressing Africa’s debt burden remains a crucial priority for international economic stability.