Lagos, Rivers and Akwa Ibom states have emerged as the three most indebted states in Nigeria, accounting for 23.9% of the country’s subnational domestic debt of N4.190 trillion as of 30th September 2020, data from the website of Debt Management Office (DMO) showed on Monday.
The debt figure accounted for 20.91% of Nigeria’s entire domestic debt, with the Federal government for the rest or 79.09 or N15.846 trillion.
The DMO revealed that the debt stock of subnational governments in Nigeria, including the Federal Capital Territory, edged up by N484.24 million between July and September.
Lagos was responsible was N493.318 billion of the total debt or 11.8% while Rivers accounted for N266.936 billion or 6.4%, according to the DMO data. Akwa Ibom’s portion of the portfolio stood at N239.210 billion or 5.7%.
Delta, Cross River and Imo came next with debt balances of N235.860 billion, N164.100 billion and N158.175 billion respectively, accounting for 5.63%, 3.92% and 3.78% of the entire debt stock.
On the reverse side, Yobe, Jigawa and Ebonyi states were the least indebted states in the federation as their debts stood at N29.23 billion, N36.04 billion and N41.27 billion in that order, according to the DMO.
Last month, the International Monetary Fund noted that it was imperative for Nigeria to up its revenue generation drive in order to create room for increased social spending and scale down fiscal threats and debt vulnerabilities.
“With high poverty rates and only a gradual recovery in prospect, revenue mobilisation will need to rely initially on progressive and efficiency-enhancing measures, with higher VAT and excise rates awaiting until stronger economic recovery takes root,” the multilateral organisation said.
Join the conversation
Support Ripples Nigeria, hold up solutions journalism
Balanced, fearless journalism driven by data comes at huge financial costs.
As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.
If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.
Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.
SPECIAL REPORT: Lack of legal provisions, cultural sentiments fueling marital r*pe in Nigeria
By Arinze Chijioke In the early days of Sandra Izuckukwu’s marriage in 2019, her husband, Sunday Izuchukwu, did everything she...
INVESTIGATION… LIVES ON THE LINE (IV): Surviving in a dangerous media environment
This investigation is on the unresolved killing of three Nigerian journalists while on assignments between 2019 and 2020. For six...
INVESTIGATION… LIVES ON THE LINE (III): Precious Owolabi was killed covering a protest
This investigation is on the unresolved killing of three Nigerian journalists while on assignments between 2019-2020. For six months, Nigerian...
INVESTIGATION… LIVES ON THE LINE (II): Alex Ogbu was telling a story but became the story
This four-part series investigation is on the unresolved killing of three Nigerian journalists while on assignments between 2019 and 2020....
SPECIAL REPORT… TELECOMS BLACKOUT: Nigeria’s latest tactic against banditry grounds businesses, forcing residents beyond borders
The fight against notorious bandits raining terror and kidnapping students in Northwest Nigeria took a new dimension in September as...