Domestic Debt Servicing Rises By 46% To N1.33trn In H1 2022

The Nigerian government expenses on debt servicing increased by 46% to N1.33 trillion in the first half of 2022, OduNews reports.

This was contained in data released by the Debt Management Office on Thursday.

As of June 2022, Nigeria’s total debt stock rose to $10.31 billion from N41.61 trillion recorded in the previous quarter. Domestic debt stood at $63.25 billion, while external debt was $40.06 billion.

Nigeria’s debt profile has been on the rise over the years following the crunch in revenue, with the economy running on a fiscal deficit in the last 13 years. A breakdown of the report showed that the highest was spent in April 2022 at N529.881 billion, followed by the N376.44 billion spent in the previous month.

N892.1 billion was spent to service FG bonds in the period under review, accounting for 66.9% of the total payment. Also, 21.5% of the total domestic debt service payment was made on promissory notes having spent N286.67 billion, while N110.86 billion was spent on Nigerian Treasury Bills.

Others include N715.99 million on FGN Savings Bond, N41.3 billion on Sukuk rentals, and N1.8 billion on FGN Green Bonds.