Nigerian Firms Face N2.1 Trillion Finance Costs in 2025

In 2025, 20 major Nigerian companies, including MTN Nigeria, Dangote Cement, and Seplat Energy, reported a combined finance cost of N2.1 trillion, marking a 0.99% increase from N2.05 trillion in 2024. MTN Nigeria recorded the highest finance cost at N524.91 billion, a 22% increase from N431.65 billion in 2024, largely due to higher lease liabilities from extended tower lease arrangements.

Oando PLC followed with a finance cost of N465.4 billion, reflecting a significant 97.3% increase from N235.84 billion in 2024. Dangote Cement reported a finance cost of N351.5 billion, nearly a 50% decrease from N700.3 billion in 2024, indicating a reduction in debt exposure.

Seplat Energy's finance cost rose to N281.21 billion, a 103% increase from N138.7 billion in 2024. The Central Bank of Nigeria's monetary policy has contributed to high borrowing costs, affecting profit margins and operational capabilities across sectors.