Nigeria spent ₦849.58 billion less on debt servicing in the second quarter of 2023 than in the first.

This was a decrease of 43.04% from the debt servicing costs of ₦1.49 trillion in the first quarter of 2023.

According to data from the DMO, Nigeria set aside a total of ₦1.24 trillion in the first quarter of 2023, with ₦874.13 billion for servicing domestic debt and $801.36 million (equal to ₦617.35 billion) for servicing external debt.

Servicing expenses amounted to ₦565.88 billion, while external debt servicing costs reached $368.26 million (₦283.7 billion), resulting in a combined total of ₦1.24 trillion, according to data obtained from the DMO.

The exchange rate of the DMO, which was $1 to ₦770.38, was used for external debt servicing.

In contrast to the previous quarter, during which Nigeria allocated around $131.13 million for servicing Exim Bank of China loans, no funds were dedicated to Chinese loan servicing in the first quarter of 2023, as reported by DMO.