Federal Government don borrow N100bn from unclaimed dividends and dormant accounts, as new data from Debt Management Office (DMO) show say funds from private investors and bank customers don dey used as part of Nigeria debt.
According to DMO domestic debt report, the money dey captured under “Unclaimed Funds Trust Fund (UFTF) FGN Security” and stand at N100bn as of December 31, 2025. This one represent about 0.12 per cent of total Federal Government domestic debt.
The UFTF na special fund wey government create under Finance Act 2020 to keep idle money like unclaimed dividends and balances from dormant bank accounts.
How the funds take dey used
Under the arrangement, unclaimed dividends from companies and bank accounts wey don inactive for at least six years dey transferred into the fund.
DMO, together with Central Bank of Nigeria (CBN) and Securities and Exchange Commission (SEC), dey manage the fund, and any investment wey government make with the money dey counted as part of public debt.
This mean say the N100bn wey government borrow na money wey originally belong to private individuals and investors, but government don convert am into securities like Treasury bills.
Govt still owe the money
Even though government dey use the funds, law still recognise am as debt wey FG owe the original owners.
The Finance Act 2020 make am clear say anybody wey get unclaimed dividends fit still claim their money anytime, as the fund dey operate like perpetual trust.
Nigeria debt still dey rise
The development come as Nigeria debt profile continue to increase.
DMO data show say total Federal Government domestic debt reach about N80.49 trillion as of December 2025, with FGN bonds taking over 79 per cent, while Treasury bills account for about 17 per cent.
Criticism trail policy
Even though the amount small compared to overall borrowing, many stakeholders don criticise government for using unclaimed funds.
Civil society group Socio-Economic Rights and Accountability Project (SERAP) earlier oppose plan by FG to borrow about N895bn from the same source.
CBN guidelines on dormant accounts
Earlier, Central Bank of Nigeria direct banks to transfer dormant accounts and unclaimed balances into a special account called Unclaimed Balances Trust Fund (UBTF) Pool Account.
CBN explain say the funds fit be invested in Treasury bills and other government securities, but beneficiaries must still receive their money (plus interest if any) within 10 working days after request.
The apex bank also instruct financial institutions to publish details of dormant accounts and unclaimed balances on their websites.
The move continue to raise debate on transparency and safety of private funds, even as government search for new ways to finance budget deficits.
