FG Raids Dormant Accounts, Unclaimed Dividends to Borrow N100 Billion as Debts Mount
- Nigerian government secures N100 billion from dormant accounts to fund budget deficits
- Nigeria's total public debt reaches N187 trillion amid rising living costs
- Experts highlight increasing reliance on unclaimed funds as an alternative financing source
Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
Recent records from the Debt Management Office (DMO) show that the Nigerian government raised N100 billion via the Unclaimed Funds Trust Fund (UFTF), drawing on dormant bank accounts and unclaimed dividends.
The move is part of the government’s borrowing programme.
Source: Facebook
FG borrows N100bn from UFTF to fund budgets
The DMO disclosed this in its domestic stock report, listing an instrument tagged UFTF FGN Security valued at N100 billion as of December 31, 2025.
The amount represents about 0.12% of the federal government’s total domestic debt stock of N80.49 trillion.
The report has reignited debate over Nigeria’s rising debt stock and the use of sleeping funds to support the government’s deficits and financing needs.
CBN, SEC and DMO manage dormant accounts
According to reports, the arrangement is from the Finance Act 2020, which created the guideline, allowing dormant account balances and unclaimed dividends to be transferred into a central trust fund until claimed by owners.
Under the arrangement, the funds may be invested in federal government securities, thereby making them part of the country’s public debt.
A report by The Nigerian Tribune reveals that the National Debt Management Framework 2023-2027 also says that the Debt Office manages the UFTF in partnership with the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC).
Experts said the development shows the growing search for alternative funding sources as pressure mounts on public revenue, weak oil earnings and growing fiscal deficits.
DMO lists Nigeria’s domestic borrowings
According to the DMO, conventional debt instruments continue to dominate public borrowings in Nigeria.
FGB Bonds accounted for N63.63 trillion in 2025, representing 79.06% of domestic debt.
Treasury Bills followed with N13.85 trillion at 17.21%, while Promissory Notes accounted for N1.54 trillion.
Sukuk bonds accounted for N1.19 trillion, while Savings Bonds and Green Bonds made up smaller portions of the debt stock.
Unclaimed funds soar in Nigeria
Checks show that as of 2024, total unclaimed dividends in Nigeria stood at N215 billion.
The SEC warned in a recent circular that registrars and quoted companies should not treat old dividends as status-barred without considering the Finance Act 2020
The SEC clarified that dividends belonging to publicly listed firms, which are unclaimed for six years or more, are expected to be transferred to the UFTF and held in trust until owners come for claims.
It also revealed that shareholders retain the right to claim dividends that are not statute-barred before December 31, 2020.
It directed companies and registrars to continue to honour valid requests for unpaid dividends and to file periodic compliance reports.
Nigeria’s debt profile hits N187 trillion under Tinubu
A prior report by Legit.ng disclosed that fresh domestic and external borrowings under President Bola Tinubu pushed the figure higher, leaving citizens with a heavier financial burden amid rising living costs.
Data released Tuesday, April 14, 2026, by the Debt Management Office (DMO) showed total public debt rose by N5.98 trillion (3.9 per cent) from N153.29 trillion at the end of September 2025.
Year-on-year, the increase was N14.61 trillion (10.1 per cent) from N144.67 trillion in December 2024.
Source: Twitter
Both domestic and external loans contributed to the quarterly jump. External debt grew from N71.48 trillion to N74.43 trillion (up N2.95 trillion or 4.1 per cent), while domestic debt rose from N81.82 trillion to N84.85 trillion (up N3.03 trillion or 3.7 per cent).
Nigerian bank to close accounts of customers
Legit.ng earlier reported that Standard Chartered Bank Nigeria has announced that, effective February 28, 2026, it will close accounts that do not meet its new minimum Assets Under Management (AUM) requirement of N7.5 million.
The move is part of the bank’s strategy to introduce its Emerging Affluent segment and phase out the Personal Banking segment.
In a notice to customers titled “Important Notice: Branch Network and Segment Update,” the bank stated that accounts failing to meet the minimum balance by the deadline will be closed.
Source: Legit.ng
