The securitized Ways and Means balance in Nigeria has seen a significant reduction, dropping to N22.106 trillion as of June 2026, down from N22.719 trillion. This marks the first decline in the debt after remaining unchanged for nearly three years.
The Debt Management Office (DMO) initially included this amount in the broader Federal Government bond portfolio but later separated it for clarity. By June 2026, the securitized debt represented 25.41% of the total domestic debt stock and 34.09% of all FGN bonds.
This reduction was facilitated by a restructuring process approved in May 2023, which converted N22.719 trillion of short-term loans from the Central Bank of Nigeria (CBN) into long-term Federal Government securities. The new arrangement features a 40-year tenor, a 9% annual interest rate, and a three-year moratorium on principal repayments.
Despite the decrease in the Ways and Means balance, Nigeria's total public debt rose to N166.79 trillion by June 30, 2026, reflecting a broader increase in domestic debt. The latest DMO figures indicate that Nigeria's public debt now stands at approximately $120.93 billion, with domestic debt accounting for a significant portion.
This restructuring highlights the ongoing challenges in managing Nigeria's fiscal policies, as the government continues to navigate the complexities of its debt obligations while ensuring financial stability.