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Nigeria’s debt up by N24.33tr in three months, now N121.67tr

THE Debt Management Office (DMO) today, revealed that Nigeria’s total public debt currently stands at ₦121.67 trillion ($91.46 billion).

As of March 31, 2024, the country’s combined domestic and foreign debts amounted to ₦121.67 trillion ($91.46 billion), showing an increase of ₦24.33 trillion over three months, rising from ₦97.34 trillion ($108.23 billion) in December 2023.

This debt encompasses borrowings by the Federal Government, the 36 state governments, and the Federal Capital Territory (FCT), with total domestic debt recorded at ₦65.65 trillion ($46.29 billion) and total external debt at ₦56.02 trillion ($42.12 billion).

The DMO highlighted that the growth in total public debt, rising from ₦59.12 trillion in December to ₦65.65 trillion in March 2024, was primarily due to new borrowing to partially cover the 2024 Budget deficit and the securitization of a portion of the Ways and Means Advances at the Central Bank of Nigeria.

It noted that “whilst borrowing, as provided in the 2024 Appropriation Act, will continue, we expect improvements in the Government’s Revenue to enhance debt sustainability.”

President Bola Tinubu announced his intentions to present the 2024 Supplementary Budget to the National Assembly on May 29, 2024.

Having assented to the ₦28.7 trillion 2024 Appropriation Bill on January 1, 2024, the President’s budget titled the 2024 ‘Budget of Renewed Hope’, featuring an oil price of $77.96 and a daily oil production estimate of 1.78 million barrels per day surpassed the initially proposed amount.

Despite the President setting the naira at ₦750/$1, the currency faced significant devaluation shortly after, trading at nearly ₦2,000/$1 in February.

Currently, the naira exchanges at around ₦1500/$1, following fluctuations in the foreign exchange market.

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