Nigeria spends N140bn on interest for domestic dollar bond
Nigeria paid N140.29bn in interest on its domestic US dollar bond between January and September 2025, according to figures from the Debt Management Office. The bond, introduced in August 2024 under a $2bn programme, raised over $900m from local investors and was the first of its kind issued domestically in foreign currency. The naira’s appreciation between December 31, 2024 and September 30, 2025 reduced the reported naira value of the bond, even as interest payments remained significant. Wale Edun, Minister of Finance, highlighted the bond’s oversubscription as a sign of investor confidence in Nigeria’s economy.
TLDR
- Nigeria paid N140.29bn in interest on the domestic US dollar bond from January to September 2025, with payments of N67.99bn in March and N72.31bn in September.
- The outstanding principal of the bond dropped from N1.41tn on December 31, 2024, to N1.35tn by September 30, 2025, mainly due to exchange rate changes.
- The bond was introduced in August 2024 and was 180 per cent oversubscribed, raising over $900m from local investors.
- Total domestic debt stock rose from N70.41tn as of December 31, 2024, to N77.81tn by September 30, 2025.
- Wale Edun stated that the oversubscription reflects investor confidence and supports the government’s efforts to deepen economic growth.
