Nigeria’s Debt Servicing Gulps N5trillion in Five Years

A fresh report has shown that Nigeria has in the past five years paid $25.220 billion in repayment of loans and service charges within the period of 2011 to 2015.

The 2015 Annual Report of the Debt Management Office, DMO, which was recently released indicated that in 2016 alone, N446 billion has already being paid out to creditors in debt servicing

Nigeria’s current public debt, according to the report stands at N8.837 trillion for the domestic component and $10.718 billion for the foreign stock.

A breakdown of debt servicing in the last five years indicated that the sum of $3.781 billion was used to service debt in 2011, $4.918 billion for 2012 and $5,520 billion in 2013. For the 2014 and last year, the sum of $5.500 billion and $5.499 billion respectively were paid out.

Director General of DMO, Dr. Abraham Nwankwo, who spoke on the domestic debt servicing pay out in 2014 and 2015 reported that the Federal Government spent a total of N1.88 trillion.

Furthermore, the debt service payment showed that Nigeria spent N25billion on repayment of principal and N993.13 billion on interest repayment in 2015.