As of September 30, 2023, Nigeria’s total debt has surged to N87.9 trillion, according to the Debt Management Office (DMO). This figure reflects a marginal increase of 0.61% compared to the debt recorded on June 30, 2023, which stood at N87.38 trillion. The DMO, in a statement released on Wednesday, clarified that this debt encompasses both domestic and external obligations of the Federal Government, the 36 state governments, and the Federal Capital Territory, Abuja.
The statement elaborated on the factors contributing to this trend, citing a reduction in external debt from USD 43.16 billion as of June 30, 2023, to USD 41.59 billion as of September 30, 2023. The decrease in external debt was attributed to the redemption of a USD 500 million Eurobond and the payment of USD 413.859 million as the first principal repayment of the USD 3.4 billion loan acquired from the International Monetary Fund in 2020 during the Covid-19 pandemic.
The statement highlighted the significance of debt servicing, emphasizing that the government’s commitment to fulfilling its debt obligations is evident through the repayment of these loans. It also underscored the importance of President Muhammadu Buhari’s initiatives and actions aimed at enhancing revenue generation for Nigeria’s overall fiscal balance.