Nigeria’s total public debt surged to N144.67 trillion (approximately $94.23 billion) by the end of 2024, according to a newly released report from the Debt Management Office (DMO). This marks a significant 48.58% increase compared to the N97.34 trillion ($108.23 billion) recorded at the close of 2023.
The report highlights that the nation’s debt burden also rose on a quarterly basis, climbing 1.65% from N142.32 trillion ($88.89 billion) as of September 2024. The increase underscores the government’s continued reliance on borrowing to finance public spending.
A key factor behind the debt spike is the sharp rise in the Federal Government’s domestic debt, which grew by 32.19%, jumping from N53.26 trillion to N70.41 trillion in just one year. This reflects the administration’s sustained dependence on the domestic bond market to bridge budget shortfalls and fund major infrastructure projects.
In contrast, domestic debt owed by state governments and the Federal Capital Territory (FCT) saw a notable decline. The figure dropped by 32.27%, from N5.86 trillion to N3.97 trillion, suggesting tighter fiscal management or reduced borrowing at the subnational level.
The sharp rise in debt levels has reignited conversations about fiscal sustainability and the long-term impact of rising obligations on Nigeria’s economic stability. Analysts have called for more robust revenue generation strategies and fiscal reforms to curb overdependence on borrowing.
