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See Nations With High Debt Risk according to the World Bank

See Nations With High Debt Risk according to the World Bank

The World Bank has listed Nigeria and nine other countries as nations with high-debt risk exposure.

In a financial statement for the International Development Association (IDA) released on Monday, the World Bank pegged Nigeria at number five with a $11.7b IDA debt stock.

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For enquiries and details, call World Farmers Centre Admin on 08035219966 or WhatsApp us @+2348173030321.

“As of June 30, 2021, the ten countries with the highest exposures accounted for 66% of IDA’s total exposure,” it explained in the document.

“IDA’s largest exposure to a single borrowing country, India, was $22 billion as of June 30, 2021. Monitoring these exposures relative to the SBL, requires consideration of the repayment profiles of existing loans, as well as disbursement profiles and projected new loans and guarantees.”

India tops the list with an IDA debt stock of $22b. Bangladesh – with $18.1b – is second and followed by Pakistan ($16.4b), and Vietnam with $14.1b.

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“IDA faces two types of credit risk: country credit risk and counterparty credit risk,” the World Bank further explained.

“Country credit risk is the risk of loss due to a country not meeting its contractual obligations, and counterparty credit risk is the risk of loss attributable to a counterparty not honoring its contractual obligations. IDA is exposed to commercial as well as noncommercial counterparty credit risk.”

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For enquiries and details, call World Farmers Centre Admin on 08035219966 or WhatsApp us @+2348173030321.

As of September 2020, Nigeria had taken a $31.98b worth of loans from the World Bank Group, International Monetary Fund (IMF), African Development Bank (AfDB), according to the Debt Management Office (DMO).

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For enquiries and details, call World Farmers Centre Admin on 08035219966 or WhatsApp us @+2348173030321.

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