This study empirically analyzed external debt management and economic development in Nigeria. The data employed in this study were collected from the CBN statistical bulletin annual report. The study employed Real Gross Domestic Product as the independent variable, while External Debt service, Balance of Payment, External Debt, and Exchange Rate were used as independent variables. The estimation technique employed in this study was Ordinary least squares (OLS) multiple regression method. The findings of this study revealed that external debt management recorded a positive and significant impact on economic development in Nigeria over review period. The study recommended that government of Nigeria should strike a balance between the acquisition of external debt and usage of same for projects that will culminate to enhancement of economic growth and development in Nigeria.