The National Orientation Agency has stated that the country’s debt burden has “significantly decreased” since President Bola Tinubu assumed office in 2023, dismissing claims suggesting otherwise.
It was earlier reported that the Debt Management Office said Nigeria’s total public debt stock has risen to “N152.40 trillion as of June 30, 2025.”
The DMO said the figure represents a N3.01tn increase from N149.39tn recorded at the end of March 2025, marking a 2.01 per cent rise within three months. In dollar terms, the debt profile grew from $97.24bn to $99.66bn, reflecting a 2.49 per cent increase.
The agency said a breakdown of the figures shows that “Nigeria’s external debt climbed to $46.98bn (N71.85tn) in June, up from $45.98bn (N70.63tn) in March.”
In an explainer dated October 24, 2025, and shared via its X handle on Monday, the NOA said misinformation has created a false narrative about Nigeria’s debt burden, but data from the DMO, Central Bank of Nigeria, Ministry of Finance, and Federal Inland Revenue Service revealed a different story.
The NOA stated that the country’s total public debt stood at $113.42 billion as of June 2023, with a debt-to-GDP ratio below 40 percent, which falls within sustainable limits as defined by the IMF and World Bank.
The agency explained that by December 2024, the figure had dropped to approximately $94.22 billion, representing a reduction of over $19 billion within 18 months.
“The reduction in Nigeria’s debt shows that the federal government is actively managing its borrowings and repayments.
“Instead of accumulating more debt, Nigeria has been making down payments of some of its loans and avoiding unnecessary new borrowings. This is a positive sign of fiscal responsibility,” it said.
The agency noted that before President Tinubu’s administration, debt servicing consumed nearly all government revenue, with figures showing that in the first half of 2023, about 97 percent of total revenue went toward debt payments.
“By the end of 2024, this ratio had improved to 68 percent, and it has reduced to less than 50 percent by the second quarter of 2025.
“While still high, this is a significant improvement, showing better fiscal management and increased government revenue,” the NOA explained.
Highlighting the administration’s commitment to honouring its financial obligations, the NOA said the federal government repaid a $3.26 billion IMF loan within two years and spent about $7 billion on external debt servicing during the first 18 months of the Tinubu presidency.
The agency acknowledged that although Nigeria’s debt remains manageable, the country continues to face challenges linked to its over-reliance on oil revenue.
It, however, praised the government’s drive to expand non-oil revenue through improved tax collection and plugging fiscal leakages.
The NOA said, “In the first half of 2024, non-oil revenue increased by 30 percent compared to the same period in 2023.
“The Nigeria Customs Service collected N1.3 trillion in the first quarter of 2025, more than double the N600 billion collected in the same period in 2023. This remarkable increase is a testament to the federal government’s renewed focus on strengthening revenue mobilisation without raising tax rates.”
The agency further stated that the country’s economy is showing steady signs of recovery and diversification, driven by reforms in key sectors such as agriculture, telecommunications, and services.
It cited a World Bank projection that placed Nigeria’s GDP growth at 3.7 percent in 2024, the strongest expansion in nearly a decade (excluding post-pandemic rebounds).
The NOA added that the federal government is also investing heavily in infrastructure, supporting agriculture, and promoting digital innovation and small businesses to ensure sustainable growth and reduce the country’s dependency on oil revenues.
