When FX Blew Up Nigeria’s Debt Numbers

The phrase “When FX blew up Nigeria’s debt numbers” refers to the sharp depreciation of the Nigerian naira against major foreign currencies in 2022‑2023, which caused the country’s external debt burden to surge in local‑currency terms. As the naira fell, the value of dollar‑denominated bonds, loans and Eurobonds that Nigeria owes rose dramatically when expressed in naira, pushing the official debt‑to‑GDP ratio higher and prompting the government and investors to reassess debt sustainability, borrowing costs and fiscal policy. The episode highlighted how exchange‑rate volatility can quickly inflate sovereign debt statistics in emerging‑market economies. Views Nigeria