Nigeria's Total Debt Surges By N191bn In 3 Months

Nigeria's total public debt climbed by N191 billion in the first quarter of this year, according to data released by the Debt Management Office on Wednesday.

Nigeria's Debt Management Office revealed that the nation's debt stock had a 0.58 percent marginal increase from N32.916 trillion as of December 31, 2020, to N33.1 trillion.

The total public debt comprises the debt stock of the Federal Government of Nigeria (FGN), the 36 state governments, and the Federal Capital Territory (FCT).

Lagos State led other states with a total debt of N507.377 billion; followed by Rivers, N266.936 billion; Akwa Ibom, N232 billion; and Delta, N213.982 billion. As of December 31, 2020, the three states were also the most indebted in the country.

The debt stock also includes promissory notes in the sum of N940.22bn issued to settle the inherited arrears of the FGN to state governments, oil marketing companies, exporters, and local contractors.

It said the country’s external debt however reduced due to the redemption by Nigeria of the $500 million Eurobond in January.

The external debt is made up of $17,830.05 billion owed to multilateral creditors, including the World Bank Group, African Development Bank Group, European Development Fund, Arab Bank for Economic Development in Africa, Islamic Development Bank, and the International Fund for Agricultural Development.

Further analysis of the public debt stock showed that the domestic debt stock grew by 2.11 percent from N20.21tn in December 2020 to N20.637tn as of the end of March 31, 2021.

According to the DMO, the Federal Government of Nigeria’s share of the domestic debt includes FGN bonds, Sukuk, and green bonds used to finance infrastructure and other capital projects as well as the N940.22bn promissory notes.