Nigerian government debts to workers reach 8.7 tr
Federal government debts to Nigerian workers have risen to 8.7 trillion naira after borrowing 642.9 billion naira last year.
Data from the Pension Commission (PenCom) obtained by Ripples Nigeria on Saturday revealed that the figure is 7.9% higher than the total figure of N8.1 trillion naira for 2020.
The money was donated to the federal government by pension fund administrators (PFAs) who subscribed to government securities offerings amid higher interest rate yields and relatively low risk factors.
Federal government securities include FGN bonds, treasury bills, agency bonds, Sukuk bonds and green bonds.
These securities make up a large portion of the Nigerian government’s $18.23 trillion domestic debt as of September 2021.
READ ALSO: Nigerian government debt hits N24.52 trillion –CBN
Government securities are not just the facilities where pension fund managers have invested workers’ N12.3 trillion total assets.
A breakdown of the PenCom report found that PFAs had invested N943.33 billion in corporate debt securities as of the end of December 2021.
Securities include corporate bonds, corporate infrastructure bonds, corporate green bonds and supranational bonds.
The PFAs also invested N2.020 billion in local market securities and N120.7 billion in mutual funds.
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