Nigeria’s total public debt climbed to ₦152.39 trillion as of 30 June 2025, reflecting a 2.01 percent, or ₦3 trillion, increase from the ₦149.39 trillion recorded at the end of March, according to the Debt Management Office (DMO).
The figure represents the combined domestic and external borrowings of the federal, state, and Federal Capital Territory (FCT) governments. Domestic debt stood at ₦80.55 trillion (about $52.67 billion), while external debt reached ₦71.84 trillion ($46.98 billion).
The Federal Government accounted for the lion’s share of domestic borrowings, which rose from ₦74.88 trillion in the first quarter to ₦76.58 trillion in the second. The collective debt of states and the FCT increased marginally from ₦3.86 trillion to ₦3.96 trillion during the same period.
The DMO attributed the moderate rise to a mix of new domestic issuances and exchange rate adjustments affecting the valuation of external obligations. Despite the increase, the office said Nigeria continues to meet its debt obligations, citing “adequate budgetary provisions” and a stronger debt management strategy.
The agency also highlighted improved fiscal discipline and transparency following the issuance of $2.2 billion in Eurobonds earlier in the year, which helped refinance part of the country’s maturing debts and support budget implementation.
While Nigeria’s debt-to-GDP ratio remains below the 40 percent threshold set by the federal government, analysts have warned that rising debt service costs continue to exert pressure on fiscal resources. The DMO, however, maintained that ongoing reforms under the Medium-Term Debt Management Strategy aim to strike a balance between financing developmental needs and maintaining debt sustainability.
With the government prioritising revenue expansion through tax reforms and improved remittances from key sectors, fiscal authorities hope to slow borrowing growth in the second half of 2025.
