Nigeria’s total domestic debt service reached ₦1.707 trillion in the second quarter of 2025 (April–June), according to new data published by the Debt Management Office (DMO).
The figures reveal that the government spent ₦1.686 trillion serving loans across various domestic debt instruments and ₦20.14 billion on principal repayments, bringing total domestic debt servicing to ₦1,707,087,151,475.90 within the three-month period.
Debt servicing peaked in April 2025, when the country spent ₦805.31 billion, before declining to ₦423.10 billion in May and slightly rising again to ₦478.67 billion in June.
According to the DMO, the bulk of Nigeria’s domestic debt service was directed toward Federal Government Bonds (FGN Bonds) and Nigerian Treasury Bills (NTBs), a reflection of the government’s continued dependence on domestic borrowing to finance budgetary shortfalls.
The DMO also reported that Nigeria’s total domestic debt stock had climbed to ₦76.59 trillion as of mid-2025, underscoring the increasing cost of managing public debt.
Further analysis of the data shows that Nigerian Treasury Bills (NTBs) accounted for ₦537.9 billion in servicing costs for the quarter, with ₦254.12 billion spent in April, ₦169.39 billion in May, and ₦114.39 billion in June. Payments on FGN Bonds were the largest component, totaling ₦1.074 trillion, comprising ₦502.66 billion in April, ₦252.54 billion in May, and ₦318.84 billion in June.
The FGN Savings Bond (FGNSB), targeted at retail investors, required ₦3.19 billion in debt service, with consistent monthly payments between ₦930 million and ₦1.17 billion. Servicing of FGN Sukuk bonds, which comply with Islamic finance principles, totaled ₦70.72 billion, driven primarily by a ₦43.26 billion payment in June and ₦27.45 billion in April.
Additionally, Nigeria paid ₦1.08 billion in June to service its Green Bonds, which are linked to environmental sustainability projects. The DMO data also revealed that ₦20.14 billion was disbursed as principal repayment on Naira-denominated Promissory Notes, while no payments were recorded on foreign currency promissory notes during the period.
The figures reveal that the government spent ₦1.686 trillion serving loans across various domestic debt instruments and ₦20.14 billion on principal repayments, bringing total domestic debt servicing to ₦1,707,087,151,475.90 within the three-month period.
Debt servicing peaked in April 2025, when the country spent ₦805.31 billion, before declining to ₦423.10 billion in May and slightly rising again to ₦478.67 billion in June.
According to the DMO, the bulk of Nigeria’s domestic debt service was directed toward Federal Government Bonds (FGN Bonds) and Nigerian Treasury Bills (NTBs), a reflection of the government’s continued dependence on domestic borrowing to finance budgetary shortfalls.
The DMO also reported that Nigeria’s total domestic debt stock had climbed to ₦76.59 trillion as of mid-2025, underscoring the increasing cost of managing public debt.
Further analysis of the data shows that Nigerian Treasury Bills (NTBs) accounted for ₦537.9 billion in servicing costs for the quarter, with ₦254.12 billion spent in April, ₦169.39 billion in May, and ₦114.39 billion in June. Payments on FGN Bonds were the largest component, totaling ₦1.074 trillion, comprising ₦502.66 billion in April, ₦252.54 billion in May, and ₦318.84 billion in June.
The FGN Savings Bond (FGNSB), targeted at retail investors, required ₦3.19 billion in debt service, with consistent monthly payments between ₦930 million and ₦1.17 billion. Servicing of FGN Sukuk bonds, which comply with Islamic finance principles, totaled ₦70.72 billion, driven primarily by a ₦43.26 billion payment in June and ₦27.45 billion in April.
Additionally, Nigeria paid ₦1.08 billion in June to service its Green Bonds, which are linked to environmental sustainability projects. The DMO data also revealed that ₦20.14 billion was disbursed as principal repayment on Naira-denominated Promissory Notes, while no payments were recorded on foreign currency promissory notes during the period.
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