Nigeria’s Debt Increased To N144.67 Trillion Under Tinubu’s Government In 2024

Nigeria’s total debt stock jumped to N144.67 trillion as of December 31, 2024, marking a 48.58% increase compared to N97.34 trillion at the end of 2023.

This update was shared by the Debt Management Office (DMO) in its latest report released on Friday.

According to the data, the country’s debt also rose slightly by 1.65% within the final quarter of 2024, moving up from N142.32 trillion at the end of September.

Breaking it down, both external and domestic borrowings contributed to the sharp increase.

External debt saw a steep rise of nearly 84%, growing from N38.22 trillion in December 2023 to N70.29 trillion by December 2024.

This jump was due to fresh borrowing from international sources and the impact of the weakening naira, which inflated the local currency value of Nigeria’s dollar debts.

On the domestic front, debt increased by about 26%, rising from N59.12 trillion in December 2023 to N74.38 trillion a year later.

The Federal Government’s share of domestic borrowing surged by over 32%, moving from N53.26 trillion to N70.41 trillion — indicating continued reliance on local funds to cover budget gaps and infrastructure expenses.

However, state governments and the Federal Capital Territory (FCT) took a more cautious route. Their domestic debt dropped from N5.86 trillion to N3.97 trillion over the same period, reflecting a 32.27% decline.

In the final three months of 2024 alone, Nigeria’s total debt increased by N2.35 trillion. External debt rose from N68.89 trillion in September to N70.29 trillion by December.

The DMO attributed this to more foreign loans and further depreciation of the naira.

Meanwhile, domestic debt edged up slightly from N73.43 trillion to N74.38 trillion during the same quarter. While federal borrowing increased marginally, debt owed by states and the FCT dipped again — this time by nearly 6%.

As of the end of 2024, Nigeria’s public debt was fairly evenly split: about 48.6% in external loans and 51.4% in domestic obligations.

The Federal Government held the bulk of both types — N62.92 trillion in foreign debt and N70.41 trillion in domestic debt. State governments and the FCT were responsible for N7.37 trillion and N3.97 trillion respectively.

With external borrowing now making up nearly half of Nigeria’s debt, economists are raising red flags.

The weakening naira means higher costs in repaying dollar-denominated loans, which could further strain the nation’s already tight finances.

KanyiDaily recalls that the African Network for Environment and Economic Justice (ANEEJ) recently expressed concern that Nigeria’s escalating debt could push its citizens into multidimensional poverty.