Nigeria to burn $10bn subsidy savings on debt servicing

Nigeria will go full circle from borrowing to pay for petrol subsidies to using the savings from halting the costly practice to repay creditors in 2025. Nigeria expunged the petrol subsidy bill, which gulped over $10 billion annually at its peak from the federal budget in 2023, after President Bola Tinubu’s bold move to end the decades-old practice which past presidents had avoided. The financial gains of axing the subsidy will however be erased this year by a doubling of debt service cost from N8 trillion in the 2024 budget to N15.8 tril