Nigeria hires advisers for first Eurobond sale amid soaring external debt

Nigeria's Debt Management Office has opened a request for expressions of interest from financial and legal firms to act as advisers for the country's first Eurobond issuance since November. The planned bond sale is intended to support the 2026 budget, refinance existing obligations and fund critical infrastructure projects as the government seeks to re‑enter international capital markets.

At the same time, Nigeria's external debt has risen above US$51.8 billion, with the 2026 budget projecting debt‑service payments of US$11.6 billion—more than double the previous year and a significant share of national revenue. Analysts and commentators warn that the growing debt burden, compounded by high borrowing costs and limited fiscal space, threatens economic development and could exacerbate poverty. The government’s pursuit of additional financing, including a structured total‑return swap with First Abu Dhabi Bank despite IMF cautions, underscores the urgency and controversy surrounding Nigeria’s borrowing strategy.