The Federal Government’s excellent guarantees and contingent liabilities stood at N7.84 trillion as of June 30, 2026, with collateral for a $1.5 billion Total Return Swap accounting for N2.74 trillion, or 34.99% of the entire.
The figures are contained within the Debt Management Office’s (DMO) report on excellent Federal Government guarantees and contingent liabilities, which covers exposures throughout the ability sector, monetary establishments, infrastructure tasks and pension obligations.
The report places the entire at N7.84 trillion, with power-sector obligations and guarantees for the Bank of Industry additionally accounting for substantial parts of the publicity.
Dollar swap collateral dominates FG liabilities
The collateral for the Total Return Swap with First Abu Dhabi Bank was the biggest merchandise within the DMO’s breakdown, accounting for nearly 35% of excellent guarantees and contingent liabilities.
The Federal Government drew down $1.5 billion underneath the $5 billion swap association and issued Federal Government bonds due in May 2032, carrying a coupon of 16.9556%, as collateral for the quantity drawn.
Other main exposures embody:
- Power-sector contingent liabilities arising from Put-Call Option Agreements (PCOAs) stood at N1.88 trillion, representing 23.93% of the entire.
- The Bank of Industry assure amounted to N1.18 trillion, or 15.04% of the entire, in respect of its €750 million Eurobond.
- The assure for Lekki Port LFTZ Enterprise, which covers the Lekki Deep Sea Port challenge, stood at N804.96 billion, accounting for 10.27%.
- The Nigeria Bulk Electricity Trading (NBET) Plc power-sector bond assure amounted to N501.02 billion, whereas pension arrears for ministries, departments and companies stood at N374.88 billion.
The figures present that the swap collateral, power-sector obligations and Bank of Industry assure collectively account for many of the Federal Government’s reported publicity.
Power sector accounts for vital publicity
The DMO listed N1.88 trillion in contingent liabilities arising from PCOAs for the Azura-Edo Independent Power Project, Calabar National Integrated Power Project, Afrinergia Power Limited and CT Cosmos.
- An additional N329.80 billion was recorded underneath Partial Risk Guarantees (PRGs) for energy tasks, representing 4.21% of the entire. NBET supplied the underlying information for each classes.
- The authorities additionally assured N501.02 billion underneath the primary collection of NBET’s N4 trillion Power Sector Bond Issuance Programme, established by way of a particular objective automobile to settle money owed owed to electrical energy technology firms.
Other reported exposures embody N5.24 billion for the Federal Mortgage Bank of Nigeria and N25.35 billion for the Nigeria Mortgage Refinance Company. The latter assure helps long-term funding by way of capital-market notes used to refinance or buy mortgages originated by eligible mortgage lenders.
The DMO stated N29 billion had been utilised from the N440 billion assure out there to the Nigeria Mortgage Refinance Company.
FG debt-service prices stay substantial
The newest assure figures come amid continued stress from debt-service obligations. Nairametrics beforehand reported that Nigeria spent N5.28 trillion servicing domestic debt within the first half of 2026, with curiosity and rental funds accounting for N4.95 trillion.
The publication additionally reported that the Federal Government incurred N10.61 trillion in extra debt-service prices between June 2023 and December 2025, about N4.14 trillion greater than the N6.47 trillion spent on strategic infrastructure over the identical interval.
In a separate report, Nairametrics stated the Federal Government borrowed N11.9 trillion between June 2023 and December 2025, whereas arguing that financial reforms had created fiscal house and prevented even greater borrowing.
