According to the Debt Management Office’s (DMO) most recent estimate released on Thursday, Nigeria’s debt stock reached an all-time high in the fourth quarter of 2022, reaching N46.25 trillion ($103.11 billion).
The Federal Government, 36 State Governments, and the Federal Capital Territory (FCT) all had debt stocks, both domestic and external, according to DMO.
The statement also stated that the total stock of domestic debt was N27.55 trillion (USD 61.42 billion), while the total stock of external debt was N18.70 trillion (USD 41.69 billion).
The FGN and sub-national governments’ new borrowings, which were primarily taken out to cover budget deficits and fund projects, were one of the factors contributing to the rise in the total public debt stock.
“The FGN’s issuance of Promissory Notes to settle some liabilities also helped to increase the debt stock.
It reads, “Ongoing efforts by the Government to increase revenues from oil and non-oil sources through initiatives like the Finance Acts and the Strategic Revenue Mobilization initiative are expected to support debt sustainability.
The ratio of the total public debt to the GDP as of December 31, 2022, was 23 point 20 percent, according to the statement, which represents a slight increase from the previous figure of 22 point 47 percent for that date.
The World Bank/IMF limit of 55 percent, the Economic Community of West African States limit of 70 percent, and Nigeria’s own self-imposed limit of 40 percent are all met by the ratio of 23 point 20 percent, according to the report.