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AfDB to host Africa Natural Capital Accounting Community of Practice Secretariat

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African Development Bank Group has said that it will host the Secretariat of the Africa Natural Capital Accounting Community of Practice, strengthening its leadership role in integrating natural capital into climate-resilient development strategies across the continent.  As the new host, the Bank Group will provide premises for the Secretariat at its Abidjan headquarters, review and implement the Africa NCA CoP strategy and action plan in line with the Bank Group priority for natural resources value addition and work with partners including the World Bank, United Nations Economic Commission for Africa (UNECA) and the African Union to mobilize resources to scale up activities across the continent. The NCA-COP, launched in 2020 and now comprising more than 500 members from 48 African countries, promotes technical capacity building, data-driven policymaking, and knowledge sharing on natural capital accounting.  It was previously hosted by the World Bank.
The Bank announced the development during a side event at the recently concluded Africa Climate Summit 2.0 in Addis Ababa that brought together policymakers, development partners, and practitioners to discuss the importance of mainstreaming natural capital into national policies, economic planning, and investment strategies. Fred Kabanda, Manager of the Bank Group’s African Natural Resources Management and Investment Centre, stressed the Bank’s commitment to natural capital. “The African Development Bank is prioritizing natural capital as outlined in its Natural Resources Management and Investment Action Plan (2025–2029), which is anchored in the Ten-Year Strategy (2024–2033). Hosting the Africa NCA CoP Secretariat allows the Bank to strengthen capacities, foster collaboration, and ensure that natural capital is fully integrated into policies and investments that drive climate-resilient development across Africa.” Africa’s abundant natural resources are vital to its economies, livelihoods, and poverty reduction efforts.  Yet the value of natural capital is frequently underrepresented in conventional economic measures, leaving ecosystems undervalued and climate vulnerabilities unaddressed. By taking on hosting the NCA CoP Secretariat, the African Development Bank is set to ensure continuity, strengthen continental ownership, and advance policy engagement on natural capital accounting, ultimately unlocking Africa’s potential for inclusive, green, and climate-resilient development.
Global Debt above 235% of global gross domestic product—IMF
International Monetary Fund IMF, has said that total global debt was little changed last year, just above 235 per cent of global gross domestic product, according to the latest update of the IMF’s Global Debt Database
It said that Global debt has stabilized, though it remains at an elevated level, as a continued reduction in private-sector lending offset greater borrowing by governments. Total debt was little changed last year, just above 235 per cent of global gross domestic product, according to the latest update of the IMF’s Global Debt Database. Private debt declined to under 143 per cent of GDP, the lowest level since 2015, reflecting a reduction in household liabilities and little change in non-financial corporate debt. In contrast, public debt rose to nearly 93 per cent, according to our database reflecting an annual survey of the amount and composition of debt held by governments, businesses, and households. In US dollar terms, total debt increased slightly to $251 trillion, with public debt rising to $99.2 trillion and private debt decreasing to $151.8 trillion.
Diverging trends across income groups
 These global averages mask notable differences across countries and income groups. While the US and China continue to play a dominant role in shaping global debt dynamics, as our April Fiscal Monitor showed, debt and deficit levels in many countries are still high and concerning by historical standards, in both advanced and emerging economies.
 In the US, general government debt last year rose to 121 per cent of GDP (from 119 percent), while China saw an increase to 88 per cent (from 82 percent). Excluding the US, public debt in advanced economies fell by more than 2.5 points to 110 per cent of GDP. Increases in some large, advanced economies like France and the UK were offset by declines in Japan and smaller economies, such as Greece and Portugal. Excluding China, public debt in emerging markets and developing economies edged down to under 56 per cent on average. Private debt trends varied significantly across countries. The United States experienced a significant drop of 4.5 percentage points, to 143 per cent of GDP), while China recorded an increase of 6 points, to 206 percent of GDP. Among other emerging markets and developing economies, private borrowing surged in larger economies like Brazil, India, and Mexico, but declined in Chile, Colombia, and Thailand.
What drives public and private debt patterns?
 The persistently high global fiscal deficit, averaging around 5 percent of GDP, is the main driver of rising public debt. This deficit still reflects legacy costs from the Covid-19—such as subsidies and social benefits―combined with rising net interest costs. The decline in private debt stems from different factors depending on the country and income group. In many advanced economies, companies are borrowing less, likely in response to subdued growth prospects, continuing a trend started in 2023. In the US, strong balance sheet positions and cash holdings are also contributing to lower corporate borrowing. In other cases, rising public debt alongside falling private debt suggests a crowding-out effect, in which heavy public borrowing limits credit availability or raises its cost for the private sector. In China, the increase in private debt was led by non-financial corporate debt. The pickup, despite ongoing weakness in the property sector, reflects still-ample credit supply, especially to support strategic sectors. In contrast, household debt edged lower, as soft mortgage demand and concerns over employment and wage growth continue to weigh on borrowing.
Elsewhere in large emerging markets and developing economies, rising private debt stems from high interest rates and their impact on non-performing loans (as in Brazil), improved near-term growth prospects (as in India), and corporate mergers and acquisitions. Conversely, weaker growth prospects have led to private debt declines in countries such as Colombia or Thailand. In low-income countries, recent debt dynamics reflect a range of additional factors. They include more limited financial development, tight liquidity conditions, and crowding-out effects linked to the sovereign debt-private debt nexus. Governments should help manage these trends by prioritizing gradual fiscal adjustments within a credible medium-term plan to reduce public debt, while helping to avoid crowding- out private borrowing and investment. At the same time, fostering an environment that boosts economic growth and reduces uncertainty will help ease public debt and encourage private sector investment.

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Economy

Nigeria champions African-Arab trade to boost agribusiness, industrial growth

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December 5, 2025

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The Arab Africa Trade Bridges (AATB) Program and the Federal Republic of Nigeria formalized a partnership with the signing of the AATB Membership Agreement, officially welcoming Nigeria as the Program’s newest member country. The signing ceremony took place in Abuja on the sidelines of the 5th AATB Board of Governors Meeting, hosted by the Federal Government of Nigeria.

The Membership Agreement was signed by Eng. Adeeb Y. Al Aama, the CEO of the International Islamic Trade Finance Corporation (ITFC) and AATB Program Secretary General, and H.E. Mr. Wale Edun, Minister of Finance and Coordinating Minister of the Economy, Federal Republic of Nigeria. The Agreement will provide a strategic and operational framework to support Nigeria’s efforts in trade competitiveness, promote export diversification, strengthen priority value chains, and advance capacity-building efforts in line with national development priorities. Areas of collaboration will include trade promotion, agribusiness modernization, SME development, businessmen missions, trade facilitation, logistics efficiency, and digital trade readiness.

The Honourable Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, called for deeper trade collaboration between African and Arab nations, stressing the importance of value-added Agribusiness and industrial partnerships for regional growth. Speaking in Abuja at the Agribusiness Matchmaking Forum ahead of the AATB Board of Governors Meeting, the Minister said the shifting global economy makes it essential for African and Arab nations to rely more on regional cooperation, investment and shared markets.

He highlighted projections showing Arab-Africa trade could grow by more than US$37 billion in the next three years and urged partners to prioritize value addition rather than raw commodity exports. He noted that Nigeria’s growing industrial base and upcoming National Single Window reforms will support efficiency, investment and private-sector expansion.

“This is a moment to turn opportunity into action”, he said. “By working together, we can build stronger value chains, create jobs and support prosperity across our regions”, Edun emphasized. “As African and Arab nations embark on this journey of deeper trade collaboration, the potential for growth and development is vast. With a shared vision and commitment to value-added partnerships, we can unlock new opportunities, drive economic growth, and create a brighter future for our people.”

Speaking during the event, Eng. Adeeb Y. Al Aama, Chief Executive Officer of ITFC and Secretary General of the AATB Program, stated: “We are pleased to welcome Nigeria to be part of the AATB Program. Nigeria stands as one of Africa’s most dynamic and resilient economies in Africa, with a rapidly expanding private sector and strong potential across agribusiness, energy, manufacturing, and digital industries. Through this Membership Agreement, we look forward to collaborating closely with Nigerian institutions to strengthen value chains, expand regional market access, enhance trade finance and investment opportunities, and support the country’s development priorities.”

The signing of this Agreement underscores AATB’s continued engagement with African countries and its evolving portfolio of programs supporting trade and investment. In recent years, AATB has worked on initiatives across agribusiness, textiles, logistics, digital trade, export readiness under the AfCFTA framework, and other regional initiatives such as the Common African Agro-Parks (CAAPs) Programme.

With Nigeria’s accession, the AATB Program extends it’s presence in the region and adds a key partner working toward advancing trade-led development and fostering inclusive economic growth.

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Economy

FEC approves 2026–2028 MTEF, projects N34.33trn revenue 

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2 days ago

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December 4, 2025

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Federal Executive Council (FEC) has approved the 2026–2028 Medium-Term Expenditure Framework (MTEF), a key fiscal document that outlines Nigeria’s revenue expectations, macroeconomic assumptions, and spending priorities for the next three years. The approval followed Wednesday’s FEC meeting presided over by President Bola Tinubu at the State House, Abuja. The Minister of Budget and Economic Planning, Senator Atiku Bagudu made this known after the meeting.

The Minister said the Federal Government is projecting a total revenue inflow of N34.33 trillion in 2026, including N4.98 trillion expected from government-owned enterprises. Bagudu said that the projected revenue is N6.55 trillion lower than earlier estimates, adding that federal allocations are expected to drop by about N9.4 trillion, representing a 16% decline compared to the 2025 budget.

He said that statutory transfers are expected to amount to about N3 trillion within the same fiscal year. On macroeconomic assumptions, FEC adopted an oil production benchmark of 2.6 million barrels per day (mbpd) for 2026, although a more conservative 1.8 mbpd will be used for budgeting purposes. An oil price benchmark of $64 per barrel and an exchange rate of N1,512 per dollar were also approved.

Bagudu said the exchange rate assumption reflects projections tied to economic and political developments ahead of the 2027 general elections. He said the exchange rate assumption took into account the fiscal outlook ahead of the 2027 general elections.

The minister said that all the parameters were based on macroeconomic analysis by the Budget Office and other relevant agencies. Bagudu said FEC also reviewed comments from cabinet members before approving the Medium-Term Fiscal Expenditure Ceiling (MFTEC), which sets expenditure limits. Earlier, the Senate approved the external borrowing plan of $21.5 billion presented by President Tinubu for consideration The loans, according to the Senate, were part of the MTEF and Fiscal Strategy Paper (FSP) for the 2025 budget.

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Economy

CBN hikes interest on treasury Bills above inflation rate

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2 days ago

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December 4, 2025

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The spot rate on Nigerian Treasury bills has been increased by 146 basis points by the Central Bank of Nigeria (CBN) following tight subscription levels at the main auction on Wednesday. The spot rate on Treasury bills with one-year maturity has now surpassed Nigeria’s 16.05% inflation by 145 basis points following a recent decision to keep the policy rate at 27%. 

The Apex Bank came to the primary market with N700 billion Treasury bills offer size across standard tenors, including 91-day, 182-day and 364 day maturities. Details from the auction results showed that demand settled slightly above the total offers as investors began to seek higher returns on naira assets despite disinflation.

Total subscription came in at about N775 billion versus N700 billion offers floated at the main auction. The results showed rising appetite for duration as investors parked about 90% of their bids on Nigerian Treasury bills with 364 days maturity. The CBN opened N100 billion worth of 91 days bills for subscription, but the offer received underwhelming bids totalling N44.17 billion.

The CBN allotted N42.80 billion for the short-term instrument at the spot rate of 15.30%, the same as the previous auction. Total demand for 182 days Nigerian Treasury bills settled at N33.38 billion as against N150 billion that the authority pushed out for subscription. The CBN raised N30.36 billion from 182 days bills allotted to investors at the spot rate of 15.50%, the same as the previous auction.

Investors staked N697.29 billion on N450 billion in 364-day Treasury bills that was offered for subscription. The CBN raised N636.46 billion from the longest tenor at the spot rate of 17.50%, up from 16.04% at the previous auction.

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