IMF Declines to Favor Nigeria's Borrowing Options

The International Monetary Fund (IMF) has declined to favor either external or domestic borrowing for Nigeria, as stated by Abeb Aemro Selassi, Director of the African Department at the IMF, during a media briefing on April 16, 2026. Selassi noted that the decision on borrowing depends on a broader assessment of multiple debt-related factors rather than a single approach.

He emphasized the importance of ensuring that Nigeria's debt remains within sustainable levels and that borrowing aligns with the government's ability to meet repayment obligations without straining public finances. Nigeria's total public debt rose to ₦159.28 trillion by December 31, 2025, according to the Debt Management Office (DMO), reflecting a steady increase driven by domestic borrowing.

On April 15, 2026, Nigeria's Minister of Finance and Coordinating Minister of the Economy, Wale Edun, called on the IMF and World Bank to provide liquidity tools to reduce financing costs amid rising debt pressures.