Nigeria's Debt Servicing to Reach N16 Trillion in 2025

In 2025, Nigeria's total debt servicing is expected to hit N16 trillion, reflecting an increase of N2.98 trillion from 2024. The Debt Management Office (DMO) reports that domestic debt servicing will rise to N8.61 trillion, up from N5.87 trillion in 2024, indicating a significant fiscal pressure as it constitutes 53.8% of total debt servicing.

Interest payments alone will account for N8.24 trillion, representing 95.7% of domestic debt servicing. The breakdown shows that Federal Government bonds will contribute N5.35 trillion, while treasury bills will add N2.55 trillion.

On the external side, Nigeria's debt servicing will reach approximately N5.15 billion, translating to about N7.39 trillion at the official exchange rate. This includes N2.55 billion from commercial debt and N1.996 billion from bilateral debt.

The total public debt is projected to rise to N159.28 trillion by December 2025, marking a quarter-on-quarter increase of N5.98 trillion.