Nigeria spent $1.8 billion on external debt servicing in the fourth quarter of 2024, according to the latest data from the Debt Management Office (DMO).
The International Monetary Fund (IMF) emerged as the country’s top creditor during the period as it received $407.97 million, the highest among all multilateral lenders.
The International Development Association received $116.48 million while the African Development Bank was paid $43.89 million.
The International Bank for Reconstruction and Development and the Islamic Development Bank received $14.48 million and $5.83 million, respectively.
Payments to commercial creditors during the quarter amounted to $430.53 million. Of this total syndicated loans accounted for $280.16 million while Eurobond servicing stood at $148.57 million.
Nigeria also made smaller payments to individual commercial banks including $1.54 million to UniCredit S.P.A $144000 to Standard Chartered Bank and $108000 to Deutsche Bank AG.
Bilateral creditors received a combined total of $46.85 million.
France’s Agence Française de Dévelopement, Germany’s KfW and the China Development Bank were paid $33.13 million, $11.84 million and $1.88 million, respectively.
The data shows Nigeria’s ongoing commitment to meeting its external debt obligations despite fiscal constraints and foreign exchange volatility.
The DMO had recently reported that Nigeria’s external debt stock rose by 83.89 percent from N38.22 trillion or $42.50 billion in December 2023 to N70.29 trillion or $45.78 billion in December 2024.
Under the current administration, efforts to manage debt more efficiently have resulted in a reduction of the country’s revenue-to-debt service ratio from 97 percent to 65 percent.
Figures from the Central Bank of Nigeria also show a sharp drop in monthly debt servicing payments from $540 million in January 2025 to $276 million in February 2025.
The decline aligns with broader fiscal and monetary strategies aimed at improving dollar liquidity and stabilising the exchange rate.
The federal government continues to implement reforms targeted at restructuring its debt portfolio with the goal of reducing debt costs, supporting macroeconomic stability and maintaining investor confidence.
