Nigeria’s public debt hits N121.7trn

Nigeria’s total public debt has skyrocketed to a staggering N121.67 trillion ($91.46 billion) as of March 2024, marking a significant increase from N97.34 trillion ($108.23 billion) recorded at the end of December 2023. The Debt Management Office (DMO) announced the figures, which encompass the combined domestic and external debts of the Federal Government, the 36 state governments, and the Federal Capital Territory (FCT).

The surge in domestic debt from N59.12 trillion to N65.65 trillion is attributed to new borrowing aimed at partially financing the 2024 Budget deficit and securitizing a portion of the N7.3 trillion Ways and Means Advances at the Central Bank of Nigeria. Meanwhile, total external debt stands at N56.02 trillion ($42.12 billion).

Despite the ballooning debt, the government remains committed to borrowing as outlined in the 2024 Appropriation Act, expressing optimism that improved revenue generation will enhance debt sustainability in the long run.

This dramatic rise in debt highlights the pressing need for effective fiscal management and sustainable economic policies to stabilize the nation’s financial future.