The World Bank has said Nigeria’s biggest fiscal challenge is weak revenue mobilisation rather than excessive borrowing, urging the government to prioritise efforts to boost revenue generation to support sustainable economic growth.

Speaking during an interview on Channels Television on Friday, the World Bank Country Director for Nigeria, Mathew Verghis, said Nigeria’s debt profile remains moderate by international standards and is significantly different from countries experiencing debt distress.

“From our assessment, Nigeria doesn’t have a high indebtedness problem; it has a low revenue problem,” Verghis said.

He explained that Nigeria’s debt-to-GDP ratio is lower than that of many comparable countries, stressing that concerns should focus on improving government revenue rather than limiting borrowing.

“When we looked at the numbers, Nigeria is a moderately indebted country, meaning it has less debt relative to its economy than most of its neighbours and many other countries,” he said.

“Nigeria is in a very different situation than Ghana, for example, which is going through a debt restructuring.”

Verghis defended government borrowing as a necessary tool for financing long-term investments that stimulate economic growth and improve living standards.

“Nigeria borrows for the same reasons that all countries borrow. If you want to deliver results to people, the money available on an annual basis is not enough. So you borrow, deliver results, and that improves your ability to repay,” he said.

He cited the expansion of electricity access as an example, noting that providing power to about 32 million Nigerians requires substantial upfront investment.

“To be able to connect and provide energy to 32 million Nigerians, Nigeria needs to borrow money now. But with increased access to energy, the country will become wealthier and better positioned to repay the loans,” he added.

The World Bank official, however, warned that low government revenue poses a greater threat to Nigeria’s fiscal sustainability than its current debt level.

“Nigeria’s debt is not particularly high, and in fact, it’s quite moderate by international standards. Its revenues are very low by international standards, and unless those revenues are raised, it will not be able to pay back debt,” Verghis said.

According to him, strengthening revenue mobilisation would enable the government to increase investments in infrastructure, healthcare, education and other sectors that drive job creation, improve human capital and reduce poverty over the long term.

The remarks come as the World Bank recently unveiled a new six-year Country Partnership Framework for Nigeria, which places job creation at the centre of its support for the country through investments in infrastructure, healthcare, agriculture and digital connectivity.

By Elizabeth Adegbesan 

As part of the Federal Government (FG) borrowing plan for the 2026 budget, the Central Bank of Nigeria, CBN, has issued Treasury Bills, TBs, to raise N5.8 trillion in the third quarter of 2026 (Q3’26).

This represents a 241 percent year-on-year (YoY) increase when compared to N1.76 trillion sold in Q3’25.

CBN disclosed this in its Nigeria Treasury Bills Issue programme for Q3’26.

Treasury Bills are short term (less than one year) debt instruments used by the apex bank to borrow money from the Nigerian public on behalf of the federal government.  CBN also uses TBs to control money supply in the economy.

The TB issue programme commenced on July 1st, and ends on September 23rd, 2026. The settlement date began yesterday and ends on September 24th, 2026.

During the period, the apex bank will issue TBs worth N900 billion on 91 days tenor, N900 billion on 182 days and N4 trillion on 364 days.

A breakdown of the programme revealed that in July, the apex bank plans to issue N2 trillion worth of TBs, comprising N300 billion worth of 91 days bills, N300 billion worth of 182 days bills and N1.4 trillion worth of 364 bills.

In August, the apex bank issued N2.1 trillion worth of TBs, comprising N300 billion worth of 91 days bills, N300 billion worth of 182 days bills, and N1.5 trillion worth of 364 days bills.

In September, CBN plans to sell N1.7 trillion worth of TBs comprising N300 billion worth of 91 days bills, N300 billion worth of 182 days bills and N1.1 trillion worth of 384 days bills.

By Emma Ujah

President and Chairman of the Board of the African Export-Import Bank (Afreximbank), Dr. George Elombi, has tasked African nations to stop the export of Lithium, the main raw material used in the production of electric vehicle (EV) batteries. Nigeria is a major exporter of Lithium in Africa, though most of the quantity is illegally exported.

Speaking at the bank’s Mid-Year Media Roundtable in Abuja on Wednesday, he said that rather than exporting raw lithium, African countries should use it to manufacture EV batteries on the continent.

He also said Afreximbank has sufficient funds to finance the production of EV batteries and is ready to provide the necessary funding to any individual or organisation willing to venture into the industry.

In his words, “African mineral resources must work for Africa’s development. EVs are the future of transportation, and the use of lithium to produce EV batteries is taking centre stage in the EV industry.

“Africa must take its position in the EV industry. We have lithium. We should produce EV batteries at home. We simply have to produce them here. There is enough money in Africa to manufacture batteries in Africa.

“If you know anyone who is interested in EV battery production, bring them to me. But if you see someone looking for funding to export lithium, don’t bring them to me.”

Dr. Elombi also said African leaders and institutions must work together to ensure that African funds held outside the continent are repatriated to support the region’s development.

Some rating agencies biased against Africa

Speaking on the bank’s credit ratings, Dr. Elombi, who advocated for African rating agencies, said some global rating agencies initially dismissed Afreximbank as too small and insignificant to drive Africa’s development, while questioning the bank’s trade finance mandate.

According to him, one agency’s 2014 assessment suggested that trade finance could not serve as a foundation for development and implied that the bank’s core mandate lacked relevance.