Nigeria’s public debt profile has come under fresh scrutiny, following data suggesting that the administration of President Bola Ahmed Tinubu is accumulating an average of about ₦82 billion in new debt daily, driven largely by a combination of external borrowings and financing arrangements secured within the first 114 days of 2026.
The figures, compiled by Statisense from multiple datasets, including Policy and Advocacy Centre (PLAC), GOV.UK, the World Bank, and the African Development Bank (AfDB), indicate that Nigeria secured approximately ₦9.39 trillion in new foreign financing between January and April 2026.
The breakdown shows that the largest component of the borrowings came from a $5 billion swap arrangement with the First Abu Dhabi Bank (FAB), followed by $902 million from UK Export Finance earmarked for port development. Additional facilities include $500 million from the World Bank for agricultural programmes (AGROW), $200 million from the African Development Bank for agriculture, another $200 million from the AfDB for digital infrastructure, and $6.8 million from the World Bank for Central Bank technical support.
Collectively, the total secured foreign financing stood at about $6.81 billion, equivalent to roughly ₦9.39 trillion at prevailing exchange rates. Analysts note that when this figure is distributed across the 114-day period under review, it translates to an average daily debt accumulation of approximately ₦82.35 billion.
The data point has intensified concerns among economists and policy analysts about Nigeria’s rising debt burden, especially at a time when the government insists that subsidy removal and foreign exchange reforms were expected to reduce fiscal pressure.
Adding to the debate, prominent voices including the Emir of Kano, Muhammadu Sanusi II, have repeatedly questioned the sustainability of Nigeria’s borrowing trajectory. Speaking at a public lecture in Lagos, Sanusi argued that the removal of fuel subsidies should ordinarily have freed up significant fiscal space, making continued borrowing unnecessary at current levels.
“We’ve removed the subsidy. We are not spending it. What we should now see is fiscal consolidation,” he said. “If you are not paying subsidy and you’ve got the money, why are we still borrowing and borrowing? What are we borrowing for?”
Sanusi’s comments reflect growing unease among public commentators who believe that fiscal gains from subsidy removal and exchange rate unification have not translated into reduced reliance on debt financing.
The 10th National Assembly’s recent approval of a $516 million external loan request for the Sokoto–Badagry Superhighway project has further reinforced concerns that borrowing remains central to government financing strategy. The loan, expected from Deutsche Bank, is part of broader infrastructure financing plans already embedded in Nigeria’s medium-term expenditure framework.
Meanwhile, opposition figures have also weighed in on the country’s rising debt stock. Former presidential candidate, Peter Obi, has consistently warned that Nigeria’s borrowing pattern is not matched by visible developmental outcomes.
According to Obi, Nigeria’s debt has grown from about ₦87 trillion in 2023 to over ₦159 trillion by the end of 2025, with projections suggesting it could exceed ₦170 trillion once recently approved loans are fully disbursed. He argues that despite aggressive borrowing, there is little commensurate improvement in infrastructure, education, or industrial productivity.
Economist and public commentator Kalu Aja also warned that Nigeria may be sliding into what he described as a “debt trap,” where new loans are increasingly used to service existing obligations rather than finance productive investment.
“President Tinubu spends too much relative to revenue. You end up financing deficits with debt, and over time, it becomes a cycle that is hard to break”, he stated.
Government data from the Debt Management Office (DMO) indicates that Nigeria’s total public debt stood at about ₦159.28 trillion as of December 2025, with projections suggesting further increases driven by new domestic and external borrowings. Debt servicing obligations have also risen sharply, reaching an estimated ₦16 trillion in 2025, when compared to ₦13.02 trillion in 2024.
Critics argue that the rising debt burden is not matched by equivalent economic output or infrastructure delivery. They point to persistent challenges such as inflation, unemployment, and infrastructure gaps as evidence that borrowed funds are not translating into broad-based development. Government officials, however, maintain that borrowing remains necessary to bridge Nigeria’s infrastructure deficit and support long-term growth. They argue that many of the loans are concessional and tied to specific projects that will eventually generate economic returns.
Still, the pace of accumulation, averaging ₦82 billion daily according to the compiled data, has become a focal point in national economic debates.
Analysts warn that without stronger revenue mobilisation and tighter fiscal discipline, Nigeria’s debt trajectory could become increasingly difficult to manage.
