Nigeria’s Debt Climbs to N97.341 Trillion in 2023, Lagos Leads BorrowingsAs of December 31, 2023, Nigeria’s overall debt hit N97.341 trillion or $108.229 billion, as disclosed by the Debt Management Office (DMO).
Lagos State emerges as the most indebted state with N1.05 trillion, followed by Delta State with N373.41 billion, Ogun State with N278.68 billion, Rivers State with N232.58 billion, and Cross River State with N220.20 billion.
The DMO outlined that Nigeria’s public debt includes both domestic and external debt stocks of the Federal Government, the 36 state governments, and the Federal Capital Territory (FCT).
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This increase of N9.43 trillion from September 2023 was primarily due to new domestic borrowings by the Federal Government and disbursements from multilateral and bilateral lenders to finance the deficit in the 2024 Appropriation Act of the total debt, domestic debt stands at N59.12 trillion, constituting 61% of the total public debt, while external debt amounts to N38.22 trillion, accounting for the remaining 39%.
Notably, Nigeria’s external debt leans towards loans from multilateral lenders, making up 49.77%, with bilateral lenders at 14.02%.Despite concerns about mounting debts, the DMO assures that borrowings align with the country’s debt management strategy.
Efforts by fiscal authorities to enhance revenue are expected to support debt sustainability.Bilateral debts include significant sums from China, France, Germany, Japan, and India.
Among the states, Imo State leads with N217.11 billion owed, followed by Akwa Ibom State with N190.48 billion and Benue State with N187.18 billion.
Further down the list, Plateau State owes N173.93 billion, Bauchi State N160.81 billion, and Oyo State N159.94 billion. The debts are spread across all states, with the FCT accounting for N91.52 billion and the total debt of all states and the FCT reaching N5.86 trillion.
