Nigeria has continued to allocate substantial funds toward debt servicing, as detailed in the Central Bank of Nigeria’s (CBN) international payments data report.....CONTINUE READING THE ARTICLE FROM THE SOURCE
According to the CBN, between January and July 2024, a total of $2.78 billion was expended on servicing external debt. The breakdown reveals payments of $560.5 million in January, $283.2 million in February, $424.7 million in March, $215.2 million in April, $854.3 million in May, $50.8 million in June, and $542.5 million in July. The highest expenditure occurred in May, totaling $854.36 million, followed by $560.51 million in January and $542.5 million in July. This significant spending on debt servicing highlights ongoing concerns about Nigeria’s financial management and the strain on its limited resources. The heavy reliance on loans has raised worries about the impact on the country’s ability to invest in essential development projects. Debt servicing has consistently consumed a large portion of Nigeria’s revenue, often exceeding the amount allocated for capital expenditure, as reported by the government.
