Lagos records largest external debt in Nigeria at $1.26 billion in Q2 2023 – NBS 

The Nigerian Bureau of Statistics has confirmed that Nigeria’s public debt grew at a rate of 75.27% on a quarter-on-quarter basis. 

The NBS disclosed this on Thursday in its Domestic and Foreign Debt report for Q2 2023. 

The report noted that Nigeria’s public debt stock which includes external and domestic debt stood at N87.38 trillion (US$113.42 billion) in Q2 2023 from N49.85 trillion (US$ 108.30 billion) in Q1 2023, indicating a growth rate of 75.27% on a quarter-on-quarter basis, they added: 

The report added that Lagos state recorded the highest domestic debt in Q2 2023 with N996.44 billion, followed by Delta with N465.40 billion. 

In dollar terms the total external debt hit $43.159 billion in q2, followed by domestic debt of $70.264 billion. 

Lagos state domestic debt was recorded at N996.4 billion, as the total domestic debt for states was N5.8 trillion for the quarter, meanwhile the Fderal Capital, FCT recorded domestic debt of N84.773 billion 

DMO 

The DMO had reported earlier that Nigeria’s total public debt soared to N87.38tn by the close of the second quarter of 2023. 

The DMO, in its recent report, confirmed that this debt encompasses the N22.71tn Ways and Means Advances extended by the Central Bank of Nigeria (CBN) to the Federal Government. 

As stated by the DMO, 

Furthermore, the DMO highlighted the significant addition to the Public Debt Stock, attributing it to the inclusion of the N22.712tn securitized Federal Government’s Ways and Means Advances. 

The report acknowledges that the expansion of Nigeria’s public debt is primarily due to various factors, including 

New Borrowings- Both the Federal Government and sub-national entities have notably increased their borrowing activities from local and external sources. 

Reforms- The report underscores ongoing reforms initiated by the present administration, along with potential reforms resulting from the recommendations of the Fiscal Reform and Tax Policies Committee, to enhance debt strategy and sustainability.