March 29, 2022/Coronation Research

According to Nigeria’s Debt Management Office (DMO), Nigeria’s total public debt rose by 4.1% or N1.5trn from N38trn at end-September ‘21 to N39.5trn at end-December 2021.

The total public debt increased by 20.2% or N6.6trn when compared to the corresponding period in 2020.

As at end-2021, public debt is equivalent to 22.5% of 2021 nominal GDP. This is in line with the DMO’s debt management target of a debt-to-GDP ratio of 40% of GDP for the period 2020-2023 and below the limit of 55% set by the World Bank for countries within Nigeria’s peer group.

It is also below the 70% set by the Economic Community of West African States. According to the DMO, disbursements by multilateral and bilateral creditors account for a significant portion of the increase in the debt stock.   

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