Debt servicing has emerged as a significant component of Nigeria’s foreign payment obligations in 2024, accounting for a staggering 63.56% of the total $5.63 billion in foreign payments in nine months.
This is according to an analysis of the latest international payment statistics data of the Central Bank of Nigeria (CBN).
This percentage marks a sharp increase compared to the same period of 2023 when debt servicing constituted 46.71% of $5.48 billion in total foreign payments.
The rise in debt servicing costs reflects the increasing burden of Nigeria’s external debt obligations amid persistent fiscal challenges.
What the data says
The country’s total debt service payments surged by 39.77% from $2.56 billion between January and September 2023 to $3.58 billion in the same period of 2024, highlighting the growing financial strain on public resources.
- Nigeria’s debt servicing in January 2024 stood at $560.52 million, a massive 398.91% increase compared to $112.35 million in…