Despite Massive Revenue Inflows, Nigeria’s Public Debt Rises To N152.4tn

Nigeria’s total public debt has continued its upward swing, reaching N152.4tn as of June 30, 2025, compared to N149.39tn recorded at the end of March.

The latest data from the Debt Management Office (DMO) reveal a quarterly increase of N3.01tn, or 2.01 per cent, despite steady revenue inflows from oil and non-oil sectors.

In dollar terms, the nation’s debt stock rose from $97.24bn to $99.66bn, representing a 2.49 per cent increase.

Nigeria’s external debt rose modestly to $46.98bn (₦71.85 tn) in June, up from $45.98bn (₦70.63 tn) three months earlier.

The DMO report shows that multilateral institutions remain Nigeria’s primary creditors, holding $23.19bn, or 49.4 per cent, of the country’s total external debt.

The World Bank’s International Development Association (IDA) is the single largest lender, with an exposure of $18.04bn.

Bilateral loans stood at $6.20bn, led by the Export-Import Bank of China with $4.91bn, followed by smaller commitments from France, Japan, India, and Germany.

Commercial borrowings amounted to $17.32bn, largely Eurobonds, which represent 36.9 per cent of the external portfolio. An additional $268.9m was owed through syndicated loans and commercial bank facilities.

Nigeria’s growing dependence on Eurobonds and other market-based borrowings leaves it vulnerable to global interest rate movements, while its reliance on concessional multilateral funding signals continued fiscal strain and limited access to cheaper domestic capital.

On the domestic front, Nigeria’s debt rose to N80.55tn by June from N78.76tn in March, a N1.79tn increase.

The Federal Government bonds continue to dominate, accounting for N60.65tn or 79.2 per cent of total domestic debt.

This includes ₦36.52tn in regular naira bonds, ₦22.72tn in securitised Ways and Means advances, and ₦1.40tn in dollar-denominated bonds. Treasury bills stood at ₦12.76tn, while Sukuk bonds reached ₦1.29 tn.

Smaller components included savings bonds (N91.53bn), green bonds (N62.36bn), and promissory notes (N1.73tn) — the latter comprising both naira and foreign currency obligations.