The Federal Government has confirmed the full redemption of the first ₦100 billion Sukuk bond issued in 2017 to creditors.
Director-General of the Debt Management Office (DMO), Ms. Patience Oniha, disclosed this on Monday during an investor meeting in Abuja for the issuance of the Federal Government of Nigeria’s ₦300 billion Series VII Sukuk.
Ms. Oniha also revealed that the country’s total public debt now stands at ₦144.67 trillion, evenly split between external and domestic borrowings.
“This means that all those who subscribed to the Sukuk in 2017 have now received full repayment of their investments, in addition to the interest they were paid upfront,” she explained.
Speaking on the latest ₦300 billion Sukuk issuance, Oniha noted that Nigeria’s recent credit rating upgrade by Fitch Ratings reflects the country’s ongoing progress in economic and debt management reforms.
“Being upgraded by Fitch means we are doing something right. Growth and development is a journey—it doesn’t happen all at once. But with the right fiscal and monetary policies in place, we are making tangible progress,” she said.
She emphasized the importance of the upgrade, stating that it directly affects investment decisions, business performance, and market pricing.
On foreign exchange, the DMO boss praised the Central Bank of Nigeria (CBN) for recent reforms in the FX market, noting that the Naira has become more stable compared to the same period in 2024.
“This time last year, the Naira’s value was fluctuating daily. Since Q4 2023, however, due to policy interventions—some of which were unpopular—we’ve seen more stability in the exchange rate and improved supply. The market is no longer experiencing the scarcity it once did,” [/b]Oniha stated.
She added that the CBN’s move to disclose Nigeria’s net reserve position also contributed to improved investor confidence and transparency in the FX space.
[b]Commenting on the oil sector, Oniha expressed optimism about future growth following President Bola Tinubu’s new policy initiatives.
However, she acknowledged that Nigeria still relies heavily on oil and gas revenues in the short term.
On the breakdown of Nigeria’s current debt profile, she said the December 2024 figure stands at ₦144.67 trillion, with updated data for March 2025 to be released soon.
She attributed the increase in total debt stock to two main factors: exchange rate conversion and the inclusion of Ways and Means advances.
“The external debt stock has been relatively stable—around $42.5 billion—until the addition of $2.2 billion in Eurobonds in December. However, as the Naira depreciated, the debt stock increased when converted to local currency. In dollar terms, the debt has either remained flat or declined,” she clarified.
“The second reason for the jump in debt stock is the inclusion of about ₦30 trillion in Ways and Means advances, which were borrowed based on legislative approvals, as provided in the budget,” she added.
On the composition of external debt, Ms. Oniha said Nigeria maintains a diversified portfolio, borrowing from a mix of multilateral, bilateral, and commercial sources.
“We’re not dependent on one source. Our creditors include the World Bank, African Development Bank, and bilateral partners such as China, India, Germany, and Japan. While Eurobonds are well-known, they make up only a portion of our funding. Over 60 percent of our external debt stock comes from multilateral and bilateral sources,” she concluded.