Connect with us

Latest News

Debt Alert: FG Pays N611.71bn in March to Settle First Local Dollar Bond!

Published

on

The Federal Government expended ₦611.71 billion in March 2025 to service its first-ever US dollar-denominated bond issued in the local market — the largest single domestic debt service item for the month — underscoring the escalating burden of foreign exchange-linked liabilities in Nigeria’s debt portfolio.....KINDLY READ THE FULL STORY HERE▶

The Debt Management Office (DMO) has revealed that the Federal Government spent ₦611.71 billion in March 2025 servicing its first-ever US dollar-denominated bond issued within the domestic market. This figure emerged from the DMO’s latest report on actual domestic debt servicing for Q1 2025.

According to the report, the March payment alone accounted for 47.05% of the ₦1.3 trillion spent on domestic debt service that month, and 23.44% of the ₦2.61 trillion expended during the entire first quarter—underscoring the rising burden of foreign exchange-linked obligations.

Introduced in August 2024 under the $2 billion Domestic FGN USD Bond Programme, the instrument raised over $900 million from local investors and was 180% oversubscribed. It marked a historic milestone as Nigeria’s first local-currency-market-issued foreign exchange bond, later listed on both the Nigerian Exchange (NGX) and FMDQ Exchange. The deal was also recognised with the “West Africa Deal of the Year” award.

‘2027 Will Be A Fight Between Tinubu, APC And Nigerians’ – Atiku.

The DMO reported that $44.97 million in interest was due on March 6, 2025. Converted at the official exchange rate of ₦1,511.80/$, this equals roughly ₦67.99 billion. However, the total servicing cost reported for March was ₦611.71 billion—suggesting the government may have redeemed a portion of the bond’s principal (estimated at ₦543.72 billion) alongside the interest. If so, this would represent an unusually early partial principal repayment, just seven months after issuance.

Key Details:

  • As of September 30, 2024, the bond added ₦1.47 trillion to Nigeria’s domestic debt stock of ₦69.22 trillion, accounting for 2.12% of the total.

  • By March 31, 2025, the outstanding balance had dropped to ₦1.41 trillion, or 1.88% of the revised total of ₦74.89 trillion.

Political Earthquake: Shettima, Tinubu Celebrate Oborevwori, Okowa’s Historic Move To APC

While hailed for deepening domestic capital markets and offering a tax-free investment avenue for dollar-holding entities, the bond’s dollar denomination poses serious risks. As the naira continues to weaken—now trading above ₦1,500/$—repayment costs in local currency terms have surged, putting further strain on fiscal resources.

Despite not tapping the volatile Eurobond market, Nigeria’s exposure to foreign exchange risk has grown through instruments like the domestic USD bond. The March servicing cost alone dwarfed payments made on all other domestic instruments, raising red flags over sustainability.

Created to attract FX into government coffers and reduce external borrowing, the bond’s substantial cost underlines the challenges of managing dollar-denominated liabilities in a volatile exchange rate environment. As FX-linked debt grows, so does the pressure on Nigeria’s fragile fiscal balance.

Stay connected via Google News
Follow us for the latest travel updates and guides.
Add as preferred source on Google
Advertisement

latest

Uzodinma Sparks Fresh Debate, Says Imo Governorship Must Not Stay In One Zone.

Published

on

Governor Hope Uzodinma of Imo State has reiterated his position that the governorship seat must continue to rotate among the state’s three senatorial zones.....KINDLY READ THE FULL STORY HERE▶

He made the remark while receiving the report of the Imo Elders Council, which was constituted to review the Charter of Equity guiding the rotation of the governorship position among Orlu, Okigwe, and Owerri zones.

Uzodinma stressed that Imo State would not tolerate any form of political domination or forceful takeover, insisting that fairness, inclusion, and consensus remain essential for sustaining peace and stability in the state.

Speaking at the Government House Banquet Hall in Owerri, the governor recalled the political tensions that followed the 2020 leadership crisis when he assumed office, noting that exclusion breeds resentment and instability.

He maintained that anyone denied justice is unlikely to support peace, adding that his administration is committed to building agreement among stakeholders to prevent political conflict.

Akpabio's Warning: Shehu Sani Alerts Against Wuse 2 Protests

The governor described the Elders Council as the moral compass of the state, explaining that it was legally established to provide non-partisan guidance in governance.

He also revealed plans to strengthen the law establishing the council to enhance its authority, including provisions to address misconduct among members where necessary.

Uzodinma reaffirmed that the Charter of Equity is designed to ensure fair distribution of political offices across the three zones and urged stakeholders to respect zoning arrangements to avoid unnecessary divisions.

He further reaffirmed the state’s alignment with the Federal Government and expressed appreciation for President Bola Tinubu’s support.

According to him, strict adherence to equity and justice would guarantee lasting peace and a smooth political transition in Imo State.

He added that the Charter of Equity is permanent and called on stakeholders to embrace dialogue, unity, and prayer while allowing divine guidance to shape outcomes.

National Orientation Agency Launches Campaign Against Lassa Fever Amid Rising Infections

Uzodinma also pledged continued consultations with stakeholders from all three senatorial zones to strengthen consensus and promote political stability in the state.

Earlier, the Chairman of the Elders Council, Eze Cletus Ilomuanya, commended the governor for fostering unity, noting that balanced development across all regions is key to sustainable progress.

Ilomuanya urged full implementation of the Charter of Equity through equitable appointments, fair distribution of projects, and equal opportunities across the state.

He described the charter as a framework for inclusiveness, where no part of the state is marginalised and leadership opportunities are open to all citizens.

The elder statesman also advised the governor to remain guided by fairness, justice, and peace in implementing the principles of the Charter of Equity.

Stay connected via Google News
Follow us for the latest travel updates and guides.
Add as preferred source on Google
Continue Reading

latest

Tinubu’s Decision To Drop Finance Minister Edun Sends Panic Through Economy.

Published

on

President Bola Ahmed Tinubu’s decision to remove Wale Edun as Minister of Finance and appoint Taiwo Oyedele as his replacement on Tuesday has triggered mixed reactions across Nigeria’s economic landscape.....KINDLY READ THE FULL STORY HERE▶

The development, along with the dismissal of the Minister of Housing and Urban Development, Ahmed Musa Dangiwa, was confirmed in a memo issued by the Secretary to the Government of the Federation, Senator George Akume.

According to the directive, Edun was instructed to hand over duties to Oyedele, while Dangiwa was directed to transfer responsibilities to Muttaqha Rabe Darma, who has been named minister-designate.

The Presidency did not provide specific reasons for the changes but stated that the cabinet reshuffle falls within the President’s constitutional powers as outlined in Sections 147 and 148 of the 1999 Constitution (as amended).

During his tenure, Edun played a key role in driving Tinubu’s “Renewed Hope” economic agenda, which included the removal of fuel subsidy, foreign exchange reforms, and other fiscal and monetary policies. He had previously credited these reforms with contributing to economic growth of 4.07 percent in Q4 2025, up from 2 percent in 2023, while inflation reportedly declined to 15 percent from 22.04 percent.

“Otti Breaks Silence: Here’s Why I Visited Nnamdi Kanu”.

Despite these improvements on paper, many Nigerians continue to face high living costs, particularly in food, transport, and essential goods.

His exit comes shortly after the International Monetary Fund revised Nigeria’s growth outlook downward to 4.1 percent from 4.3 percent, citing global economic pressures linked to geopolitical tensions in the Middle East.

Edun had recently returned from the World Bank/IMF Spring Meetings in Washington, where he maintained that Nigeria would not seek an IMF bailout despite external challenges, assuring continuity in domestic economic policies.

However, his sudden removal has raised concerns among investors and market observers.

Following the announcement, the naira weakened slightly, closing at N1,350.74 to the dollar, while the Nigerian Exchange Limited recorded an N88 billion gain, though this was lower than the previous day’s N609 billion increase.

“Hands Off Tunji-Ojo!” – NANS Urges Tinubu To Shield Minister From Malicious Attacks

Speaking on the development, Professor of Accounting and Finance at Lead City University, Godwin Oyedokun, said the situation should be assessed from both strategic and economic stability perspectives.

He noted that cabinet changes can reflect a government’s effort to reassess its policy direction and strengthen economic management, but warned that poorly communicated or abrupt decisions could create uncertainty.

According to him, investors are less concerned about individual officeholders and more focused on policy consistency, predictability, and institutional strength.

Oyedokun urged the government to ensure transparency and stability in economic communication going forward, stressing that these factors would determine investor confidence in the wake of the reshuffle.

Stay connected via Google News
Follow us for the latest travel updates and guides.
Add as preferred source on Google
Continue Reading

latest

Breaking: Security Forces Neutralize Two Armed Men In Late-Night Plateau Raid.

Published

on

Troops of Operation ENDURING PEACE have neutralised two armed men during a coordinated ambush in Barkin Ladi Local Government Area of Plateau State.....KINDLY READ THE FULL STORY HERE▶

The operation was conducted on the evening of Tuesday, April 21, 2026, at about 7:49 p.m. in the Marit general area near Doruwa Babuje, following credible intelligence on the movement of suspected criminal elements.

According to a military statement, the suspects were allegedly responsible for terrorising surrounding communities through violent attacks, sexual assault, and armed robbery.

‘2027 Will Be A Fight Between Tinubu, APC And Nigerians’ – Atiku.

Acting on the intelligence, troops set up an ambush and engaged the armed men in a gun duel. Two of the suspects were killed during the exchange, while others escaped into nearby bushes under the cover of darkness.

Following the operation, a search of the area led to the recovery of a locally fabricated rifle, five rounds of 7.62x39mm ammunition, a cutlass, a jackknife, and a mobile phone.

Security forces have since maintained a strong presence in Marit and Lajam villages to ensure the protection of residents, while efforts are ongoing to track and apprehend the fleeing suspects.

Political Earthquake: Shettima, Tinubu Celebrate Oborevwori, Okowa’s Historic Move To APC

The statement added that troops remain deployed in the affected areas as part of sustained operations aimed at restoring peace and preventing further attacks.

The military also reaffirmed its commitment to safeguarding lives and property, urging residents to stay vigilant and promptly report any suspicious activities to security agencies.

Stay connected via Google News
Follow us for the latest travel updates and guides.
Add as preferred source on Google
Continue Reading

Trending

Copyright © 2023 NIVONEWS

×