The Debt Management Office of Nigeria has disclosed that Nigeria's public debt surged to N97.34tn ($108bn) by the fourth quarter of 2023.
In a statement available to journalists on Friday, the DMO revealed that public debt serves as a means for countries to secure additional funds for economic development, enabling them to undertake larger projects conducive to their advancement.
The statement highlighted, “Nigeria’s public debt stock as at December 31, 2023, amounted to N97.34 trn or $108.229bn,” comprising both domestic and external debts of the Federal Government of Nigeria, the 36 states governments, and the Federal Capital Territory.
This figure reflects a significant increase from the N89.43tn recorded in September 2023, primarily attributed to new domestic borrowing by the government to partially finance the deficit in the 2024 Appropriation Act, along with disbursements from multilateral and bilateral lenders.
Of the total public debt stock, domestic debt accounted for 61 percent at N59.12tn, while external debt stood at N14.3822 trillion, representing 39 percent.
The DMO emphasized that Nigeria's external debt stock predominantly consists of loans from multilateral (49.77 percent) and bilateral lenders (14.02 percent), totaling 63.79 percent, largely concessional and semi-concessional.
The DMO affirmed its commitment to implementing best practices in public debt management while acknowledging the ongoing fiscal authorities' efforts to boost revenue, which it believes will contribute to debt sustainability.
