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Nigeria’s Debt Hits Over 144 Trillion Naira-DMO

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Nigeria’s total public debt rose to N144.67 trillion ($94.23 billion) as of December 31, 2024, reflecting a significant increase of 48.58% compared to N97.34 trillion ($108.23 billion) recorded at the end of December 2023.

This latest figure was disclosed by the Debt Management Office (DMO) in its report on the country’s public debt profile.

The report also indicated a quarter-on-quarter rise of 1.65% from the N142.32 trillion ($88.89 billion) recorded at the end of September 2024, highlighting the continued increase in the nation’s debt burden within the final quarter of the year.

Year-on-year analysis 

An analysis of Nigeria’s public debt on a year-on-year basis reveals a notable increase of N47.32 trillion, representing a 48.58% rise from December 2023 to December 2024.

The surge in public debt was driven primarily by significant increases in both external and domestic borrowings.

Nigeria’s external debt rose substantially by 83.89% from N38.22 trillion ($42.50 billion) in December 2023 to N70.29 trillion ($45.78 billion) in December 2024.

The Federal Government’s domestic debt component rose significantly from N53.26 trillion to N70.41 trillion, a growth of 32.19%. This increase reflects the government’s continued reliance on local borrowing to finance budget deficits and infrastructure projects.

Conversely, the domestic debt owed by states and the Federal Capital Territory (FCT) saw a reduction from N5.86 trillion to N3.97 trillion, representing a decline of 32.27%.

The reduction in state-level borrowing indicates a cautious approach by some subnational governments towards debt accumulation within the year.

Quarter-on-quarter analysis 

The marginal rise within the quarter was driven by increases in both external and domestic debt components.

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External debt grew by N1.4 trillion, moving from N68.89 trillion ($43.03 billion) as of the end of September 2024 to N70.29 trillion ($45.78 billion) in December 2024.

The increase within the quarter was influenced by additional foreign loans obtained in the last three months of the year, alongside the further weakening of the naira against major international currencies.

On the domestic front, debt rose slightly by 1.29%, from N73.43 trillion ($45.87 billion) in September 2024 to N74.38 trillion ($48.44 billion) by the end of December. The Federal Government’s domestic debt increased from N69.22 trillion to N70.41 trillion within the quarter.

However, domestic debt attributed to states and the FCT reduced from N4.21 trillion to N3.97 trillion, reflecting a 5.69% decrease.

Debt composition 

As of December 2024, external debt constituted 48.59% of Nigeria’s total public debt, while domestic debt made up 51.41%, indicating a relatively balanced debt structure.

However, the continued increase in external borrowings suggests a growing reliance on foreign debt to bridge budgetary shortfalls

The breakdown of external debt shows that the Federal Government accounted for N62.92 trillion ($40.98 billion), while states and the FCT held N7.37 trillion ($4.80 billion).

In the domestic debt segment, the Federal Government held N70.41 trillion ($45.86 billion), with states and the FCT accounting for N3.97 trillion ($2.58 billion).

What you should know 

The rise in public debt has sparked concerns among economic analysts, given the potential implications for Nigeria’s fiscal stability.

The sharp increase, particularly in external debt, highlights the vulnerability of the nation’s finances to exchange rate fluctuations and changes in global economic conditions. With the naira’s continued depreciation, the cost of servicing foreign debt could escalate, placing additional strain on the country’s financial resources.

The government’s dependence on both external and domestic borrowing to fund critical projects points to underlying fiscal challenges, including revenue shortfalls and the need for substantial infrastructure investments.

While domestic debt remains the larger component of the debt portfolio, the significant growth in external liabilities underlines the importance of a balanced approach to debt management, particularly in light of Nigeria’s limited foreign exchange earnings

Financial experts have called for more prudent debt management practices, emphasizing the need to boost revenue generation through economic diversification and enhanced tax collection.

They warn that while borrowing can be necessary for development, it must be matched with strategic plans to ensure sustainability and avoid overburdening future budgets.

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President Tinubu Sends New Nominations For NMDPRA and NUPRC Heads Following Their Resignations

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NMDPRA Boss, Engr. Farouk, Resigns Amidst Fraud Allegation

By Yusuf Danjuma Yunusa

The Chief Executive Officer of the Nigerian Midstream and Downstream Petroleum Regulatory Authority, Engr. Ahmed Farouk, has tendered his resignation letter amidst corruption allegations levelled against him by the President of Dangote Group of Companies, Alhaji Aliko Dangote.

The development was announced on Wednesday evening by the Special Adviser to the President on Information and Strategy, Bayo Onanuga.

This newspaper had reported that the Dangote’s petition to the Independent Corrupt Practices and Other Related Offences Commission (ICPC) specifically alleges that Ahmed spent over $7 million on his children’s education in Switzerland—funds Dangote claims cannot be justified by a public servant’s legitimate earnings. The petition calls for Ahmed’s arrest, investigation, and prosecution.

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Following the petition, the ICPC vows to scrutinize the allegation with due diligence.

Meanwhile, pursuant to the resignation of Engr. Farouk, President Bola Ahmed Tinubu has sent new nomination for the NMDPRA position to the Senate for confirmation.

The new nominee is Engr. Saidu Aliyu Mohammed.

He was born in 1957 in Gombe, and graduated from Ahmadu Bello University in 1981 with a Bachelor’s in Chemical Engineering. He was announced today as an independent non-executive director at Seplat Energy.

His prior roles include Managing Director of Kaduna Refining and Petrochemical Company and Nigerian Gas Company, as well as Chair of the boards of West African Gas Pipeline Company, Nigeria LNG subsidiaries, and NNPC Retail.

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Governor Yusuf deliberated on Kano’s Glory at One Kano Agenda 2 day conference on economy and politics

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The Governor of Kano State, Alhaji Abba Kabir Yusuf, has reflected on the past glory and future prospects of Kano during the One Kano Agenda two-day conference on economy and politics held at Khalifa Isyaku Rabiu University.

Represented by the Secretary to the State Government, Alhaji Faruk Umar Ibrahim, Governor Yusuf emphasized the importance of unity, moral revival, and collective responsibility in restoring Kano’s historic position as a hub of commerce, culture, and education.

Delivering the governor’s message, Ibrahim said: “If we had known what Kano is, we would have kept quiet and listened well.” He recalled a friend’s warning from 40 years ago that a time might come when people would be “ejected from Kano,” stressing the need to follow the “Dambatta way” of resilience and reform.

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Governor Yusuf expressed gratitude to the organizers of the conference, describing the movement as a noble effort deserving the support of all patriotic Kano citizens. He noted that Kano, Nigeria’s most populous state with 65 percent of its population being youth, was once regarded as a paradise and a gathering place for businessmen, scholars, and elites.

He lamented that the state now faces challenges such as enmity among people, lack of mutual support, moral decadence, and drug abuse. “The way out is for Kano people to unite. No one can shape the state except ourselves. We should not fold our arms and allow war to consume us,” he declared.

The governor assured that beginning next year, his administration will embark on fresh projects after fulfilling all campaign promises by December 2025.

On his part the Director General of One Kano Agenda, Abbas Abdullahi Yakasai, welcomed participants and underscored the urgency of economic and political reform. He described Kano as not just a state but the “heartbeat of the northern economy,” urging stakeholders to focus on reviving its economic strength.

Yakasai particularly called on the youth to rise to the occasion, stressing that their contributions are vital to shaping Kano’s future. “In all we do, we have to look at Kano first. We shouldn’t fold our arms and allow people to destroy the state,” he said.

He further highlighted Governor Yusuf’s concern for women, the elderly, and children, noting that the administration is committed to supporting vulnerable groups while confronting the enemies of Kano.

The conference brought together political leaders, academics, and community stakeholders, served as a platform to deliberate on Kano’s economic revival and political stability.

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NLC Proceeds with Planned Protest Over Insecurity Despite Meeting with the President

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By Yusuf Danjuma Yunusa

Workers and civil society groups took to the streets across Nigeria on Wednesday in a nationwide protest against rampant insecurity and a deepening economic crisis. The demonstrations, organised by the Nigeria Labour Congress (NLC), underscore growing public frustration with the state of the nation.

Despite a last-minute meeting between NLC President Joe Ajaero and President Bola Tinubu on Tuesday night, the union proceeded with the planned action, citing unresolved critical issues.

The protest follows a December 4 resolution by the NLC’s National Executive Council (NEC), which declared the nation’s security situation “alarming and unacceptable.” The union pointed to the November 17 abduction of 24 schoolgirls in Kebbi State—where two staff members were killed—as a stark example. The NEC strongly condemned the reported withdrawal of security personnel prior to that attack.

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In Abuja, protesters gathered at the NLC Secretariat, joined by civil society allies including activist Omoyele Sowore. In Lagos, a large crowd assembled in Ikeja, carrying placards and chanting slogans demanding government action against kidnappings and violent crime. The sentiment was captured by one protester who told News Central TV, “Any kidnapper should be sentenced to death. They should kill them immediately.”

Beyond insecurity, the NLC highlighted a range of unaddressed grievances, including: unresolved agreements with the Federal Government, a crippling rise in the cost of living, and the direct impact of violence on workers’ safety, productivity, and livelihoods.

The union lamented the deaths of numerous members, including teachers, farmers, and artisans, amid what it termed government inaction.

Framing the protest as a constitutional right and civic duty, the NLC aims to mobilise public opinion and compel concrete reforms. In a December 10 notice to its state chapters, the union emphasised peaceful demonstrations and called on the police who were duly notified to protect citizens’ right to assemble.

“Solidarity is our shield,” the union stated, urging authorities to prioritise the safety and welfare of Nigerians above all else.

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