Nigeria’s total domestic debt service reached N1.707 trillion in the second quarter of 2025 (April–June).
This is according to the latest figures released by the Debt Management Office (DMO) on its official website.
The data shows that the country spent N1.686 trillion on interest payments across multiple debt instruments and N20.14 billion on principal repayments, bringing the total to N1,707,087,151,475.90 for the three-month period.
A breakdown of the figures indicates that Federal Government of Nigeria (FGN) Bonds and Nigerian Treasury Bills (NTBs) accounted for the bulk of the debt service payments, reflecting the government’s continued reliance on domestic borrowing to finance budgetary deficits.
Breakdown by Instruments
- Nigerian Treasury Bills (NTBs):
The government spent N537.9 billion servicing NTBs during the quarter — N254.12 billion in April, N169.39 billion in May, and N114.39 billion in June. - Federal Government Bonds (FGN Bonds):
Payments on FGN Bonds were the largest component of domestic debt servicing, totaling N1.074 trillion over the quarter. This comprised N502.66 billion in April, N252.54 billion in May, and N318.84 billion in June. - FGN Savings Bond (FGNSB):
Debt service on the retail-oriented savings bonds amounted to N3.19 billion, with consistent monthly payments ranging from N930 million to N1.17 billion. - FGN Sukuk:
Payments on the Islamic-compliant Sukuk bonds totaled N70.72 billion, driven by a significant N43.26 billion payment in June and N27.45 billion in April. - Green Bonds:
Nigeria also paid N1.08 billion in June for its environmental sustainability-linked Green Bonds. - Promissory Notes:
The DMO data shows that N20.14 billion was paid as principal repayment on Naira-denominated Promissory Notes during the period. No payments were recorded on foreign currency promissory notes.
Nigeria’s domestic debt service peaked in April 2025 at N805.31 billion, before dropping to N423.10 billion in May and slightly rising to N478.67 billion in June.
More insights
The DMO reported that Nigeria’s total domestic debt stock has risen to N76.59 trillion as of mid-2025.
The figures show that Federal Government Bonds (FGN Bonds) continue to dominate the country’s domestic debt portfolio, accounting for N60.65 trillion, or 79.18 percent of the total.
The updated report provides a detailed breakdown of Nigeria’s debt instruments, revealing a consistent reliance on bonds and treasury bills to finance government operations and manage fiscal shortfalls.
