By Jemimah Wellington, JKNewsMedia Reporter
BETWEEN JANUARY 2024 and February 2025, Nigeria’s foreign debt service payments totalled approximately $5.47 billion, placing further strain on the country’s revenue and external reserves.
The debt servicing pattern exhibited significant volatility during this period, reflecting ongoing fiscal pressures.
The highest monthly debt service outflow was recorded in May 2024, reaching $854.37 million, while June 2024 saw the lowest at $50.82 million.
The fluctuating debt repayment schedule underscores the mounting burden on Nigeria’s foreign exchange reserves and overall economic stability.
In the third quarter of 2024, total debt service costs rose to about ₦3.57 trillion, marking a quarter-on-quarter increase of ₦60 billion or 1.71%.
This rise was largely attributed to the combined impact of external debt obligations and currency depreciation, further compounding liquidity challenges.
At the same time, total foreign exchange direct remittances increased by 1.3% year-on-year, reaching $180.03 million in the first two months of 2025.
The marginal rise provides some relief against concerns over declining inflows in 2024, despite a growing number of Nigerians relocating abroad.
January 2025 remittances stood at $54.44 million, reflecting a sharp decline from the $138.56 million recorded in January 2024.
However, February 2025 witnessed a significant rebound, with remittance inflows surging to $125.59 million, marking a 220.8% increase compared to the same period in 2024.
For the entirety of 2024, total foreign exchange direct remittances closed at $1.91 billion, representing a 3.5% decline from the $1.98 billion recorded in 2023.
The fluctuating nature of these inflows highlights the persistent challenges in sustaining foreign exchange liquidity.
