Nigeria's external debt service payments for the second quarter of 2026 totaled $870.73 million, marking a decrease from $954.06 million in the previous quarter. This decline highlights the ongoing challenges of managing external debt obligations.
According to the Debt Management Office (DMO), the payments included $339.75 million in principal repayments, $491.73 million in interest, and $39.25 million in other charges. Notably, interest payments represented 56.5% of the total debt service costs.
Multilateral Creditors Receive Majority Share
Multilateral creditors received the largest portion, totaling $404.22 million, with significant payments to the International Development Association and the African Development Bank. These payments underscore the importance of multilateral partnerships in Nigeria's debt management strategy.
Commercial and Bilateral Payments
Commercial creditors received $325.70 million, primarily in interest payments, while bilateral creditors were paid $140.81 million. The Exim Bank of China was the largest recipient among bilateral creditors, reflecting Nigeria's reliance on foreign financing.
As of June 30, 2026, Nigeria's total public debt stock reached N166.79 trillion, with external debt accounting for N75.20 trillion. The rising cost of servicing debt, particularly interest payments, continues to pose challenges for the nation's fiscal health.