The Debt Management Office (DMO) says it spent N611.71 billion in March to service its first-ever dollar-denominated bond issued in the domestic market.
In its ‘Actual domestic debt service for January to March’ report, the agency said the March payment represents 47.05 percent of the total N1.3 trillion spent on domestic debt servicing for the month.
DMO said the dollar bond also accounted for 23.4 percent of the N2.61 trillion spent on domestic debt servicing in Q1 2025.
According to the agency, an interest payment of $44.97 million was due on March 6 and was converted at the official exchange rate of N1,511.80/$, amounting to N67.98 billion.
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However, the DMO reported a total debt service cost of N611.71 billion for the bond in March.
On August 20, the federal government offered its first domestic dollar-denominated $500 million FGN bond for subscription at $1,000 per unit to interested investors.
Speaking on the results of the issuance, Wale Edun, minister of finance and coordinating minister of the economy, said $900 million was raised, with an 180 percent oversubscription.
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“The issuance of this inaugural Domestic FGN US Dollar Bond demonstrates that investors, as well as Nigerians, continue to have faith in the country’s economy,” the minister said.
Edun said the proceeds from the bond would be directed to key sectors of the economy as approved by President Bola Tinubu.
