Nigeria’s Debt Servicing Hits N896bn – DMO

The Debt Management Office (DMO) has revealed that Nigeria’s debt servicing bill has hit N896.56billion in three months, and also increased by 109 per cent.
It also revealed that the country has spent N3.83tn on debt servicing payments in 15 months.
According to data obtained from the Debt Management Office, a total of N2.93trillion was spent on debt servicing payments in 2021, and a total of N896.56billion was spent in the first quarter of 2022.
Meanwhile, between October and December 2021, Nigeria spent N310.5billion on domestic debt servicing, while it spent $286.35million (N118.9billion) on external debt servicing, giving a total of N429.4billion.
However, between January and March 2022, Nigeria spent N668.69billion on domestic debt servicing, while it spent $548.79million (N227.87bn) on external debt servicing, giving a total of N896.56billion.
The official exchange rate of the Central Bank of Nigeria, which showed $1 =N415.22 as at June 15, 2022, was used for the external debt servicing.
This has indicated that the amount the country spent on debt servicing rose by 109 per cent from N429billion in December 2021 to N896billion in March 2022.
In the data figure, Nigeria’s debt position worsened in the first quarter of this year, 2022, as the country’s debt stock rose by N2.04trillion to hit N41.60trillion from the N39.56trillion recorded in December 2021.
Between January and March 2021, Nigeria had spent N612.71billion on domestic debt servicing, while it spent $1billion (N415.22billion) on external debt servicing, giving a total of N1.03trillion.
From April to June 2021, the country spent N322.7billion on domestic debt servicing and $299million (N124.15billion) on external debt servicing, showing a total of N446.85billion.
From July to September 2021, Nigeria spent N808.49billion on domestic debt servicing and $520.78million (N216.24billion) on external debt servicing, giving a total of N1.02trillion.

By: Corlins Walter