Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million - Politics

Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million - Politics - Nairaland

Nairaland Forum › Nairaland General › Politics › Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million (2112 Views)

1 Reply (Go Down)

Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million by AnonPoet(op): 2:42pm On Mar 12

The Federal Government spent significantly less on domestic debt service in January 2026, with payments dropping 38.5 percent year-on-year to $405.3 million, down from $659.7 million in the same month of 2025.

Figures from the Central Bank of Nigeria’s International Payment report reveal the trend extended across the full year, with total debt service payments easing 2.95 percent to $7.22 billion in 2025 compared to $7.44 billion in 2024.

The drop is largely traced to reduced obligations on Federal Government Bonds and Nigerian Treasury Bills, the two instruments that account for the largest share of Nigeria’s domestic debt service burden. Lower primary market issuances and tightening yields in the fixed-income market during the period also contributed to the decline.

Despite the fall in servicing costs, the government remained an active borrower. The Debt Management Office raised N5.26 trillion through the FGN bond market in 2025 to plug the federal budget deficit, attracting total investor subscriptions of N8.96 trillion — nearly double the amount raised.

Early 2026 saw continued strong appetite from investors. In January, the DMO surpassed its N900 billion target by a wide margin, mobilising N1.54 trillion through the auction of three FGN bonds.

Nigeria’s total domestic debt stock nonetheless continued to climb, reaching N77.81 trillion as of September 30, 2025, driven by the sustained pace of FGN bond issuances throughout the year.

https://applesbite.com/nigerias-domestic-debt-service-costs-drop-by-over-a-third-to-405-3m/

6 Likes 1 Share

Re: Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million by PulaPower: 6:19pm On Mar 12

Nice one..

It can only get better..

4 Likes

Re: Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million by QuinQ: 6:23pm On Mar 12

How does the average person FEEL this??
Conditions are worse all around and prices are up while quality is down and wages are stagnant

2 Likes 1 Share

Re: Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million by Nobody: 6:25pm On Mar 12*

Okay, may God see us through.

Re: Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million by BreakingNews21: 6:31pm On Mar 12

The source presents two opposing theories in the write-up. Debt decreased but debt has increased. huh

Re: Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million by grandstar(m): 6:44pm On Mar 12

BreakingNews21:
The source presents two opposing theories in the write-up. Debt decreased but debt has increased.

Thr cost of servicing those debts reduced as the interest rates dropped.

3 Likes

Re: Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million by twilliamx(m): 7:05pm On Mar 12

QuinQ:
How does the average person FEEL this??
Conditions are worse all around and prices are up while quality is down and wages are stagnant

They should stop being average and aim for something higher so they can benefit from all this. Wetin consign poor man with statistic some say but na him e even concern pass. Because it shows good or bad policies which he will be the one to suffer or benefit from most times.

1 Like

Re: Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million by QuinQ: 7:13pm On Mar 12*

twilliamx:
They should stop being average and aim for something higher so they can benefit from all this. Wetin consign poor man with statistic some say but na him e even concern pass. Because it shows good or bad policies which he will be the one to suffer or benefit from most times.

All that we average folks know is, prices have shot up without wages shooting up, and without quality shooting up. There's more insecurity, worse healthcare, more corruption, more kidnappings, more banditry, worse exchange rate, worse electricity, etc.
Having said all that, not only will Tinubu easily win a second term, if he went for a third term he'd still win - just as Buhari would have easily won a third term if he had run. Infact this Tinubu's 1st term can be considered Buhari's third term, being that it was Buhari's same party that was simply allowed to continue for doing a great job! grin

Re: Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million by helinues: 7:23pm On Mar 12

How would this have any impact on the common man? Same way it had impact when it was high

Re: Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million by BreakingNews21: 7:29pm On Mar 12

grandstar:
Thr cost of servicing those debts reduced as the interest rates dropped.

Clap for yourself for understanding the math. I'm too dull to comprehend after three readings. cheesy

Re: Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million by Reference(m): 7:41pm On Mar 12

Well, that's good news.
But please, please, please use the savings to invest properly. First into anti inflationary policies and programs. Next, into industrializing this country.
Good one.

Re: Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million by calabarbanga: 7:52pm On Mar 12

PulaPower:
Nice one..

It can only get better..

Up Nigeria, Up 9ja. We are moving. Mtshew

Re: Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million by Zico5(m): 8:20pm On Mar 12

If there is sharp drop in domestic debt then don't think this government is pulling any magic, masses are the one still paying the price. Removal of subsidy on all essential commodities alone is enough to pull it down. Government is not helping the masses in anyway again. They are looting excessively and the little that remains is what they are rubbing on our faces just to show they are doing something. Petrol is now almost 2 times initial price and they can't do anything on it to help the masses but they can loot and use part of it to buy rice and distribute to those hungry citizens outside there. We are not all fools

1 Like

Re: Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million by IronCondemned: 9:34pm On Mar 12

PulaPower:
Nice one..

It can only get better..

Nice one how?
Cooked up data is what you are nicing.

Suffer no dey tire you and your people?

Re: Nigeria’s Domestic Debt Service Costs Drop By Over A Third To $405.3 Million by nedu666: 6:05am On Mar 13

Interest rate on tb and bonds are dropping. So debt service cost is dropping

1 Reply

10 States With Highest External Debt Service Costs In 2024 • States With Increased Domestic Debt In SEVEN Years (dec 2015 - Dec 2022) • Top 10 Nigerian States With Least Domestic Debt • 2 • 3 • 4

Is Inec Bigger Than Nigerian Law. • Nigerian In U.s. Gets 12 Year Jail Term For $1.3m Scam • Rof Olori Oluwo Passes On