Nigeria’s total debt stock rises  to N49.85trn in Q1 2023

By Business A.M. 

Nigeria’s debt stock, comprising the domestic and external debt stocks of the federal government,sub-national governments and the Federal Capital Territory, has risen to  to N49.85 trillion ( $108.30 billion)  for the period ending March 31 2023, from N46.25 trillion or $103.11 billion as of December 21 2022.

The Debt Management Office (DMO) made the disclosure in a press release obtained by Business A.M, adding that the recently securitized Ways and Means loans of N22.719 trillion would be included as FG Domestic Debt from June 2023.

The new figure represents an increase of N3.60 trillion compared to N46.25 trillion recorded at the end of December 2022.

The DMO statement read: “As at March 31, 2023, the Total Public Debt Stock comprising the external and domestic debts of the Federal Government of Nigeria (FGN), the thirty-six (36) States, and the Federal Capital Territory (FCT) was N49.85 Trillion (USD 108.30 Billion).”

“Comparatively, the Total Public Debt Stock for the preceding period, December 31, 2022, stood at N46.25 Trillion (USD 103.31 Billion). During the period, there were increases in the debt stock of the FGN, States, and the FCT.”

“The Public Debt Stock for March 2023 does not include the FGN’s N22.719 Trillion Ways and Means Advances of the Central Bank of Nigeria whose securitization was approved by the National Assembly in May 2023. The amount will be included in the FGN’s Domestic Debt Stock from June 2023.”

Prior to the recently updated debt report, the National Assembly approved the the securitization of Ways and Means loans of N22.7 trillion in May 2023,four months after it was submitted by former president, Muhammadu Buhari.

The Ways and Means is a loan facility through which the CBN finances the government’s budget shortfalls. The securitisation implies that various types of debt instruments would be pooled together and sold as bonds to investors.