The Federal Government paid $22.5m in charges on its controversial $1.5bn Total Return Swap financing from First Abu Dhabi Bank in the second quarter of 2026, new data from the Debt Management Office have shown.
The payment represents 1.5 per cent of the amount so far drawn from the $5bn financing programme agreed with the United Arab Emirates-based lender.
An analysis of the DMO’s Actual External Debt Service Payments for April to June 2026 showed that the $22.5m was classified entirely as “other charges”, with no principal or interest payment recorded on the facility during the period.
The DMO did not explain the nature of the charge in its latest report, making it unclear whether the payment covered arrangement, commitment, transaction or other fees associated with the swap.
Nigeria secured approval for a Total Return Swap programme of up to $5bn with First Abu Dhabi Bank earlier this year, amid government efforts to raise external financing for the 2026 budget and manage its debt obligations.
Under the arrangement, the Federal Government receives dollar financing while providing naira-denominated government securities as collateral.
The government drew an initial $1.5bn from the facility in June, leaving $3.5bn available under the approved programme.
