DMO: Nigeria’s Q3 domestic debt hits N4.2tn as three states top list

The Debt Management Office says Lagos, Rivers and Akwa Ibom are three states with the most domestic debts.

According to a new data released by DMO, the domestic debt owed by states and the federal capital territory (FCT) rose to N4.2 trillion at the end of the third quarter (Q3) compared to N4.12 trillion in the second quarter (Q2).

The data showed that N4.2 trillion represents 23.04 percent of the country’s domestic debt stock of N18.23 trillion as of Q3 in 2021 down from N21.75 trillion in Q2.

In the south-west, Ogun has the second highest debt stock, while in the oil producing region, Delta state is the third highest. Combining the five top debtors will give a total of N1.39 trillion domestic debt.

The total debt owed by the five states topping the list is 33.1 percent of the total domestic debt owed by the subnational government as of September 30, 2021.

The debts records show Lagos (N532.12 billion), Akwa Ibom (N234,85 billion),Rivers (N226.35 billion), Delta (N207.17 billion) and Ogun (N192.42 billion).

According to the DMO, the domestic debt stock figure for Rivers state was the same as of June 30, 2021.

TheCable had reported that Patience Oniha, director-general of the DMO, said Nigeria’s public debt is N38.01 trillion or $92.63 billion as of Q3 2021.

“Nigeria’s total debt stock as at Sept. 30 was 37.9 billion dollars, this figure comprised the external debt stock of the Federal Government, 36 state governments and the Federal Capital Territory,” Oniha was quoted as saying.

The DMO also said the federal government needs to increase revenue momentum to lower the country’s debt profile as well as reduce new loans.

Other states with high domestic debts include Cross River, with a debt of N160.69 billion; Bayelsa, N145.8 billion; Imo, N151.31 billion; Osun, N132.64 billion; Plateau, N145.86 billion; Kano, N102.35 billion; Benue, N128.35 billion; Oyo, N93.26 billion, and Enugu, N69.17 billion.