Nigeria’s debt rises to ₦159.28trn as borrowing jumps ₦14.6trn in one year

Nigeria’s total public debt climbed to ₦159.28 trillion as of December 2025, reflecting a sharp increase driven by continued government borrowing and currency pressures.

Data released by the Debt Management Office shows the country’s debt rose from ₦153.29 trillion in September 2025, marking a quarter-on-quarter increase of ₦5.98 trillion (3.9%).

On a year-on-year basis, the figures are even steeper, with total debt rising by ₦14.61 trillion from ₦144.67 trillion recorded in December 2024, a 10.1% jump.

In dollar terms, Nigeria’s debt stock increased from $94.23 billion to $110.97 billion within the same period, underscoring the growing scale of the country’s fiscal obligations.

Domestic borrowing still dominates

A breakdown of the figures shows that domestic debt remains the largest component of Nigeria’s total debt profile.

Domestic debt rose to ₦84.85 trillion in December 2025, up from ₦81.82 trillion in September, and significantly higher than ₦74.38 trillion recorded a year earlier. This means local borrowing alone grew by ₦10.47 trillion year-on-year.

The Federal Government accounts for the bulk of this, holding ₦80.49 trillion, over half of the country’s total debt stock, while states and the Federal Capital Territory account for ₦4.36 trillion.

Aregbesola intensifies criticism of Tinubu, calls Renewed Hope Agenda “a scam”

Overall, domestic debt represents 53.27% of Nigeria’s total debt, highlighting the government’s continued reliance on local financing.

External debt also rises amid exchange rate shifts

Nigeria’s external debt also increased, reaching ₦74.43 trillion by December 2025.

This reflects a quarterly rise of ₦2.95 trillion and a year-on-year increase of ₦4.14 trillion from ₦70.29 trillion in December 2024.

In dollar terms, external debt climbed to $51.86 billion, up from $48.46 billion in September and $45.78 billion a year earlier.

The Federal Government again dominates this segment, accounting for ₦66.27 trillion of external obligations, while states and the FCT make up ₦8.16 trillion.

Despite the increase, Nigeria’s debt structure has remained relatively stable, with domestic debt consistently making up just over half of total obligations and external debt accounting for the rest.

However, the steady rise in both categories points to growing fiscal pressure, especially as the government continues to balance revenue constraints with spending needs.

With borrowing increasing across both local and international markets, the key question now is not just how much Nigeria owes, but how sustainably it can manage and service that debt in the coming years.