The Nigerian Government has spent a total of $15.55 billion on debt servicing between 2019 and 2024, according to the latest data from the Central Bank of Nigeria.
In 2019, Nigeria paid $588.33m in debt service between January and May, while the payment for 2020 was $5.40bn.
The Punch newspaper report on Tuesday added that the debt service payments continued to rise in subsequent years, with $2.02bn paid in 2021, $2.34bn in 2022, and $3.43bn in 2023.
The report also stated that between January and May 2024, Nigeria has paid $2.18bn in debt service, according to the CBN’s data.
This is 270.9 per cent increase compared to the first five months of 2019 which was $588.33m.
The $2.18bn, in May 2024 is nearing half of the $4.8bn projected by Fitch Ratings for the year.
This increase is despite the government’s assertions that it is shifting its focus towards domestic borrowing.
Fitch Ratings also predicts that Nigeria’s t external debt servicing will escalate by $400m to $5.2bn next year, raising concerns about Nigeria’s debt sustainability.
GIK/APA