Nigeria’s external debts have increased from US$3.29 billion to US$3.35 billion, due largely to the fall in the value of the US dollar against other currencies, according to the country’s Debt Management Office (DMO).
In its status report of the country’s external debts as at 30 June 2007, the DMO said the World Bank group constituted the single biggest creditor.
Nigeria owes the International Bank for Reconstruction and Development US$1.62 billion and the bank’s soft loan arm, International Development Association, US$424.88 million.
The DMO said the current external debts, which constitute only 4% of the nation’s Gross Domestic Product, did not constitute any danger to Nigeria’s economy.
In 2006, Nigeria paid off its multi- billion dollar Paris Club debt, becoming the first African nation to do so.
The country agreed to pay the Paris Club US$12.4 billion while the remainder of its over US$30 billion official debts was written off.
