Nigeria’s total public debt rose to N159.28 trillion as of December 31, 2025, highlighting growing pressure on the nation’s finances.
An analysis by Daily Trust shows the figure equals about N724,000 per citizen, reflecting a steady increase in government borrowing.
Why Government Borrowing Is Rising
The government borrows to fund budget deficits, infrastructure projects, and public services.
Experts say borrowing can support economic growth when properly managed. It helps finance critical development needs.
However, concerns grow when debt rises faster than revenue.
Low Revenue Raises Sustainability Concerns
Economists point to weak revenue as a major challenge.
Nigeria struggles with low income generation. This limits its ability to manage rising debt effectively.
Without strong revenue, debt repayment becomes more difficult.
Impact on Citizens
Citizens do not repay public debt directly, but they feel its effects.
Higher taxes, rising prices, and reduced public services often follow increased borrowing.
These pressures can lower living standards over time.
Pressure on Key Sectors
Analysts warn that rising debt reduces funds for essential sectors.
Health, education, and infrastructure may suffer as more resources go toward debt servicing.
This could slow long-term development.
Experts Call for Urgent Reforms
Experts urge the government to increase revenue and reduce reliance on loans.
They also stress the need for better use of borrowed funds.
Investments should target projects that generate income and support economic growth.
Outlook
Nigeria’s debt continues to rise, raising concerns about sustainability.
Experts warn that without strong reforms, the burden may increase further.
Improving revenue and spending efficiency remains key to managing the situation.
