Nigeria’s public debt has reached alarming levels, with concerns it may surpass N200 trillion by the end of 2025. Recent approvals include $21 billion, €2.2 billion, and ¥15 billion in new external loans for the 2025-2026 fiscal cycle, alongside a N750.98 billion domestic bond issuance and a €65 million grant. This brings the nation’s total public debt to approximately N187 trillion.
With the country’s GDP rebased at N372.8 trillion ($243.7 billion), the debt-to-GDP ratio stands at 50.16%, the highest in Nigeria’s history.
Critics argue that the borrowing pattern lacks accountability, transparency, and transformational impact, mortgaging the future of Nigerian children.
Nigeria’s infrastructure is crumbling, with 135,000km of its 195,000km road network remaining unpaved and largely unmotorable.
Despite humongous borrowing, poverty worsens, with 133 million Nigerians (63%) classified as multi-dimensionally poor and 652 children dead due to malnutrition in Northern Nigeria.
Real GDP growth for 2024 is set at 3.3%, with Q1 2025 growth at 3.13%.
Agriculture contributes 25.8% to GDP, industry 21%, and services 53.9%.
High debt service payments strain public resources, with debt servicing accounting for 73.97% of total foreign payments.
To address Nigeria’s economic challenges, experts urge the government to adopt a disciplined and prudent economic management culture. This includes:
Reducing wasteful spending and blocking revenue leakages.
Prioritizing investments in education, healthcare, and infrastructure.
Ensuring borrowed funds deliver measurable impact and sustainable development.
