The Debt Management Office (DMO) is a government agency established on 4 October 2000 to centralise the management of Nigeria's public debt. It was created in response to difficulties in Nigeria's debt portfolio, including high external and domestic debt, substantial debt service obligations, low external reserves, and weak institutional capacity for debt management.
History The DMO was established following recommendations from the Debt Management Department (DMD) of the International Monetary Fund (IMF) after an assessment of Nigeria's debt situation in 1999. The DMD recommended the creation of a single agency responsible for all aspects of public debt management, including policy formulation, borrowing, servicing, and reporting.
Initially an autonomous unit within the Presidency, the DMO was transferred to the Ministry of Finance in 2001 and became a full parastatal in 2003. Its operations are guided by the Fiscal Responsibility Act 2007 and the DMO Establishment Act 2003.
The DMO is headed by a Director-General, appointed by the President for a five-year term, renewable once. Three Executive Directors oversee the operational departments: Market Development, Portfolio Management, and Policy Strategy and Risk Management. Four service departments support these functions: General Services, Internal Audit, Legal Services, and Public Affairs. The DMO also operates six zonal offices to coordinate debt management at state and local government levels.
Functions The DMO advises the Federal Government on public debt management, raises funds through domestic and external sources, maintains a database of public debts, services outstanding obligations, manages risks, develops debt strategies, promotes the domestic debt market, and collaborates with stakeholders on debt-related issues.
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