Data from the Debt Management Office (DMO) show that the borrowings came mainly through Federal Government Bonds (FGN Bonds), Nigerian Treasury Bills (NTBs) and Promissory Notes (P-Notes), which form the backbone of Nigeria’s domestic debt structure.
The DMO reports that N4.48 trillion was raised in the first quarter, followed by N1.7 trillion in the second quarter, a modest 2.26% increase over the previous period, bringing total domestic borrowings as of June 30, 2025, to N76.59 trillion.
With oil production still below 1.8 million barrels per day and non-oil revenues underperforming, the government has increasingly turned to the domestic debt market to sustain spending.
The Medium-Term Expenditure Framework (MTEF) projects that over N13 trillion will be raised in 2025, a target that may be exceeded if borrowing continues at the current pace. Analysis of the DMO data shows that FGN Bonds account for nearly 80% of total domestic borrowings, making them the central instrument of Nigeria’s debt strategy.
As of June, the total stock of FGN Bonds stood at N60.65 trillion, comprising Naira-denominated bonds (N36.52 trillion), Securitised Ways and Means Advances (N22.72 trillion), and US Dollar bonds (N1.40 trillion).
The securitisation of Ways and Means Advances in 2024, a facility previously extended by the Central Bank of Nigeria, added substantial weight to the domestic debt portfolio.
