• The federal government continued to repay overdue debts collected over the years
  • Latest data shows another tranche of loan repayments have been made to China, India and other countries
  • More payments are expected in the coming months as a total of N17.2 trillion in external loans remains unpaid

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According to the Debt Management Office, the federal government has spent N1.87 trillion to repay maturing loans in the first six months of 2022.

Loans include those from foreign countries, organizations and domestic markets.

DMO said so in its latest debt report published Tuesday on its website.

Breakdown of Nigeria’s Total Debt Stock Credit: DMO
Source: Facebook

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Distribution of payment

According to the report, 1.33 trillion naira of the total debt service went to domestic creditors, while 536.16 billion naira went to foreign creditors.

BusinessDay reports that external debt service payments have been made to multilateral institutions, bilateral institutions, commercial creditors and others.

External commercial creditors received N848.33 million, or 65.7% of total debt service payments made to external creditors in the six months ending June 2022.

Multilateral creditors received N278.62 million or 21.6% of total payments, while bilateral creditors received N165 million or 12.8% of total debt service payments made by the Nigerian government.

How much money was refunded to countries

According Legit.ng 3.51% of the total $4.7 billion owed to countries was paid in the first six months of 2022.

Countries paid in the six months of 2022

  • France – $23.73 million
  • Germany – $12.60 million
  • China – $124.56 million
  • India – $4.09 million

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How much is left to repay

  • China (Exim Bank of China) $3.92 billion
  • France (French Development Agency) $526.57 million
  • Japan (Japan International Cooperation Agency) $60.65 million
  • India (Exim Bank of India) $31.50 million
  • Germany (Kreditanstalt Fur Wiederaufbua) $153.77 million

The top five states with the highest external debt

Meanwhile, with the naira going through a rough patch against the US dollar, servicing the external debt of 36 states in Nigeria has become more costly.

Data from the Debt Management Office (DMO) showed that as of December 2021, the total outstanding external debt of 36 subnational governments and the Federal Capital Territory Abuja stood at $4.77 billion. .

As of December 2021, the most indebted states were Lagos, Kaduna, Cross River, Edo and Rivers.

Source: Legit.ng

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