₦airaland Forum

•As foreign trade in LC Payments reaches $160m

Nigeria spent $817.4m, approximately N1.26 trillion, to service its debt in the first two months of 2025. This represents a 3.12 percent decline when compared to $843.73 million spent in the corresponding period of 2024.


Data from the Central Bank of Nigeria, CBN, International Payments Report shows that in January 2025, the government spent $540.7 million and in February 2025 it spent $276.7 million on debt servicing.

Further breakdown shows that the country had spent $3.81 billion (about N5.9 trillion) for debt service/Payments in 2024.

Recall that the Federal Government unveiled its largest national budget in 65 years, with a record-breaking N54.99 trillion proposed spending, representing a 56.89 percent increase from the N35.05 trillion budgeted in 2024 (including a supplementary N6.2 trillion.

President Bola Tinubu described it as the “Budget of Restoration,” aimed at stabilising the economy and driving growth.

In the budget , debt servicing is allocated N16.3 trillion, a 95 percent increase from N8.25 trillion budgeted in 2024.

Meanwhile, data showed that Nigeria’s foreign trade in Letters of Credit, LC, payments fell by 0.55 percent Year-on-Year (YoY) to $160 million in the first two months of this year from $160.9 million in the corresponding period of last year.


LC payments is one of the critical measure of a country’s credit worthiness but a decline or increase could also reflect developments in volume of import trades.

LC payments for 2024 stood at $801.06 million, representing a 39 percent YoY decline from $1.32billion in 2023.

Source: https://vanguardngr.com/Nigeria-Spends-$817.4m-To-Service-Debt-in-2-Months

Not too much.

Use 1% service me na

Commentor:
Not too much.

It's a lot

tunapawizzy:
It's a lot

How much should it be?

They keep immersing people in poverty,, servicing alone, not the payment. They continue borrowing, to buy vehicles for their girl friends and wives.

With all the taxes way this government they tax, na just debt servicing we fit use the money do. Not even clearing out the whole loan

IMPROVEMENT

Loans upon loans, yet we no Dey see positive results.

Nigeria my country

If they've spent such amount to service debt. Why then is mama nkechi still saying that I'm owing her na?

Tinubu and his incompetent team don spoil this Country

henrydanger:
If they've spent such amount to service debt. Why then is mama nkechi still saying that I'm owing her na?

Dem forget include your own join

Commentor:
How much should it be?

If I get my calculations right, that is 7.356 trillion naira. Nigeria's budget last year was 35 trillion naira, let's even go by the proposed 54 trillion naira for the current year. Almost 13% to service debt doesn't sound right to me. This is not to apportion the blame to the people in government right now, (because most likely the majority of the mess was caused by the people before them and debt must be paid). I am just saying 13% of the budget going to debt servicing is bad. Meanwhile the figure mentioned here here may not be accurate, I have seen other figures and it is actually about 16% to service debt. Whatever the case, 13% or 16%, not a good one. The most important thing for now let's wait to see if they can even generate the proposed 54.9trillion they are talking about, because what they've been doing in the past is to borrow for what they cannot generate

All these funds seems unreal to my ears.

tunapawizzy:
If I get my calculations right, that is 7.356 trillion naira. Nigeria's budget last year was 35 trillion naira, let's even go by the proposed 54 trillion naira for the current year. Almost 13% to service debt doesn't sound right to me. This is not to apportion the blame to the people in government right now, (because most likely the majority of the mess was caused by the people before them and debt must be paid). I am just saying 13% of the budget going to debt servicing is bad. Meanwhile the figure mentioned here here may not be accurate, I have seen other figures and it is actually about 16% to service debt. Whatever the case, 13% or 16%, not a good one. The most important thing for now let's wait to see if they can even generate the proposed 54.9trillion they are talking about

It could be better but not the worst.

13% for Nigeria.

8% for UK.

USA is 14%

adenigga:
•As foreign trade in LC Payments reaches $160m



Source: https://vanguardngr.com/Nigeria-Spends-$817.4m-To-Service-Debt-in-2-Months

Service debt yet people are still hungry....

Nigerians are crazy people...

No oo Obasanjo spent $16B for power. Very docile citizens, while tinubu and his den of thieves keep stealing on a steady bases.

Nigeria is currently a hopeless entity.

Pun intended.


For how long I don't know

Slurity:
IMPROVEMENT

It will be an improvement if they generate 54trillion. We won't know if its an improvement until the end of 2025 fiscal year. Until we see how much they borrow again

Debts used to stone devils, build useless roads at inflated rates.

Abeg if person borrow naija N1m, how much them go pay monthly? 😅

Commentor:
How much should it be?

How much was it before Obasanjo made it possible for Buhari to be president after tearing the card of PDP that made him president from Abacha's prison?
Is that the change promised by APC a decade ago

citizenisb:
Former President Olusegun Obasanjo says President Muhammadu Buhari may not do well in economy and foreign affairs, except in military matters.

“Buhari is not a very hot person on the economy and foreign affairs,” Obasanjo said.

The former President stated this on Monday at the third International Conference on African Development Issues — themed, “Driving inclusive and sustainable development in Africa: Models, methods and policies” — organised by Covenant University, Ota, Ogun State.

While reacting to a question posed to him by a member of the audience: “Is there any hope for Nigeria under the administration of President Muhammadu Buhari?”, Obasanjo replied, “Is there any hope for Nigeria under this administration? I came back from Geneva, Switzerland a few days ago to attend a conference titled, ‘Are elections giving democracy a bad name?’ We had an election, we elected a leader and the good thing about democracy is that the power you have to elect a leader is also the power you have to remove him. I am saying this because I said earlier that if you don’t see any leader that has done well in the 56 years of Nigeria’s independence, then let us forget about Nigeria.

“I will tell you what I know and I will tell you what I don’t know. I know Gen. Muhammadu Buhari. He served under me in the military. His characteristics that I know, his behaviour that I know, he has not deviated from them. He was never a perfect man, he is not a perfect man and no leader can ever be a perfect man because they are human beings. But if you read my book, what I said about him is correct. He is not a hot person when it comes to economy. He is not a very hot person when it comes to foreign affairs. But he will do well in matters of military and he will do well in fighting Boko Haram.”

http://www.punchng.com/buhari-not-sound-economy-foreign-affairs-obasanjo/

Proudlyngwa:
Nigeria is currently a hopeless entity.

Pun intended.

For how long I don't know

For as long as we focus on politics of shouting the corruption of others who we are not connected with rather than governance policy options!

anonimi:
Neo-black Problem: Must Blacks Be Ruled by Whites in Order to Prosper?

In short, the neo-black dilemma may be framed as follows: is it better to live under white rule without political dignity but with basic life-sustaining standards for many;

or to live under black rule with illusory political dignity and without basic life- sustaining standards for the majority?
@
@
The path forward for Africa lies in cultivating higher and adequate levels of personal and communal agential integrity as well as full personal responsibility and productivity. Not to mention creativity (including epistemic creativity), productive justice (such as merit and freedom), harmony and reconciliation at local and international levels, and a proper domestication of capitalism and other related values and institutions.

Africa must stop wasting her time on dreams of socialism because it is a system of wealth distribution primarily. Whereas, capitalism is a system of wealth creation primarily, and wealth has to be produced before it can be distributed.

https://www.thisdaylive.com/index.php/2024/10/12/neo-black-problem-must-blacks-be-ruled-by-whites-in-order-to-prosper/

anonimi:
How much was it before Obasanjo made it possible for Buhari to be president after tearing the card of PDP that made him president from Abacha's prison?
Is that the change promised by APC a decade ago

You asked:

Nigeria indeed cleared off the remaining debt owed to the Paris Club in 2006 with a final instalment of $4.5 billion. But in spite of this, the country's external debt still stood at $3.54 billion in the year, and rose to $3.65 billion in 2007.

Commentor:
You asked:

Nigeria indeed cleared off the remaining debt owed to the Paris Club in 2006 with a final instalment of $4.5 billion. But in spite of this, the country's external debt still stood at $3.54 billion in the year, and rose to $3.65 billion in 2007.

How much is it now that we have APC's Abacha PTF associate and the Lagos master planner for raising taxes and doing nothing implementing their change for the past 10 years

Emergingnation:
Flashback: How Bola Tinubu spoke highly of Buhari in 2015, named PDP ‘Poverty Development Party

National leader of the ruling All Progressives Congress, APC, Bola Tinubu had during the presidential campaign in 2015, referred to President Muhammadu Buhari as the only solution for the security and economic challenges facing Nigeria.

During a mega presidential rally, the former governor of Lagos State recalled how some powerful nations in the world returned to army generals when they were challenged, saying “Major General Buhari would revive Nigeria’s economy”.

He named the current opposition People’s Democratic Party, PDP as the “Poverty Development Party saying they had nothing to offer.

His words at the time were; “Every nation has a period of their own challenges, when America was challenged, they turned to one great man, their ex-military general, General Eisenhower. When the French were challenged, they turned to their general, Charles de Gaulle.

“When Britain was challenged, they turned to their general. Today, Nigeria is economically and physically challenged so we turn to General Muhammadu Buhari. He is the right man for the job. If you talk about military experience, he has it abundantly, he has courage, simplicity, he has it abundantly.

“If you talk about great determination, a combination of vision and ability to perform, honesty and integrity, he has it abundantly.

“I laugh when the incapable government, ‘Poverty Development Party’ PDP were talking. They have nothing again to say, they now want to question the qualifications of General Buhari and look for his certificate”.

Following the manifestos in 2015 which projected the APC presidential candidate as a ‘saviour’, Buhari defeated the then incumbent president, Goodluck Ebele Jonathan with Nigerians expecting a total change in security and economy.

https://dailypost.ng/2021/09/01/flashback-how-bola-tinubu-spoke-highly-of-buhari-in-2015-named-pdp-poverty-development-party/

Commentor:
It could be better but not the worst.

13% for Nigeria.

8% for UK.

USA is 14%

Yes the 13% will not be the worst figure out there when we see the budget perfomance report at the end of the fiscal year. I wish our 13% is used to service debt that was spent on productive venture like other serious nations do.
I am only afraid at what we spend on in Nigeria. We are servicing wastage. And like i said while i cant blame the current administration for the current debt they are servicing, they have also not slowed down in borrowing to fund excessive cost of governance- looks like what we cant blame them for now, we will blame them for it down the road.

Commentor:
It could be better but not the worst.

13% for Nigeria.

8% for UK.

USA is 14%

In what way is our country comparable to much more developed Britain and America?

Is it in GDP per capita or HDI ranking, or something more fundamental as the ratio of health workers to the population? Why compare us with them on debt and fail to compare us with them on what debt is used for? Is that a way to be half smart, or a way to be half stupid? Which one

Madness
Debt that’s stolen as FX
Over inflated and incomplete projects

Imagine this financial foolishness.

fitinwell:
Service debt yet people are still hungry....

Nigerians are crazy people...

During Jonathans regimen are people not hungry ??