Over Half of Nigeria’s N159tn Debt Added Under Tinubu as Borrowing Pressures Mount

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Over Half of Nigeria’s N159tn Debt Added Under Tinubu as Borrowing Pressures Mount

ABUJA, April 17 — More than half of Nigeria’s current N159.28 trillion ($110.97 billion) public debt has been accumulated since President Bola Ahmed Tinubu took office in May 2023, according to an analysis of official data from the Debt Management Office (DMO), raising fresh concerns over the country’s growing fiscal burden. 

The latest DMO figures show that Nigeria’s total debt stock rose to N159.28 trillion as of Dec. 31, 2025, up from the N77 trillion projected around Tinubu’s inauguration, meaning roughly 52% of the current debt pile has been added during the present administration. 

Using the first confirmed post-inauguration figure of N87.38 trillion recorded in June 2023, the debt has climbed by N71.90 trillion, representing about 45.1% of the current total debt stock.

The sharp rise reflects a combination of fresh borrowing, legacy liabilities, and the steep depreciation of the naira, which significantly increased the local currency value of Nigeria’s foreign debt.

What Is Driving the Debt Surge?

A major contributor was the N22.7 trillion securitisation of “Ways and Means” advances from the Central Bank of Nigeria in June 2023. Although much of the spending occurred before Tinubu assumed office, the liabilities were formally entered into the nation’s debt books under the current administration.

Another major factor was the collapse of the naira, which weakened from around N460 per dollar in mid-2023 to about N1,435 per dollar by December 2025, causing the naira value of Nigeria’s dollar-denominated debt to rise sharply.

At the same time, the government has continued to borrow heavily to finance budget deficits and infrastructure spending, with domestic borrowing remaining the dominant source of funding.

Domestic Debt Leads

According to the DMO, domestic debt accounted for N84.85 trillion, or 53.27% of total public debt, while external debt stood at N74.43 trillion, or 46.73% as of the end of 2025.

The Federal Government held the largest share of domestic liabilities at N80.49 trillion, while states and the Federal Capital Territory accounted for N4.36 trillion.

Pressure on Fiscal Sustainability

While officials maintain that Nigeria’s debt-to-GDP ratio remains within manageable limits, economists warn that the speed of accumulation and rising debt-service costs could place additional strain on public finances.

With the DMO yet to release first-quarter 2026 figures, analysts expect the debt stock to rise further amid continued borrowing and persistent fiscal pressures.

For many observers, the figures demonstrates the growing challenge facing Africa’s largest economy as it seeks to balance reforms, revenue shortfalls, and mounting debt obligations.