In just two years, Tinubu’s govt adds 43% to Nigeria’s debt stock

PRESIDENT Bola Tinubu government’s loans constitute 43 percent of Nigeria’s total public debt, which stood at N152.398 trillion as of June 2025. His administration’s debt ratio will likely rise by the time Nigeria’s debt stock is released in September, Economy Post can confirm.

As of the time former President Mujammadu Buhari left office on May 29, 2023, the nation’s total public debt stood at N87.379 trillion, according to the Debt Management Office (DMO)’s June 2023 data. However, with President Tinubu coming to power that same day, Nigeria’s debt profile rose thereafter, hitting N152.398 trillion as of June 2025, the DMO data reveal.

This means that President Tinubu’s administration racked up N65.019 trillion between June 2023 and June 2025, marking 43 percent of the current public debt stock.

However, the figure does not include the recent debts taken by President Tinubu. In early September, Economy Post reported that the World Bank could approve loans totalling $1.75 billion for Nigeria before the end of the year to support the nation’s agricultural value chain, digital infrastructure, health security and small businesses. There are also other smaller loans which have been announced or approved but are yet to be received by the Nigerian government.

More loans

The Nigerian government is in advanced talks with China’s Export-Import Bank for a $2 billion loan to construct a new electricity super grid to address Nigeria’s long-standing power supply challenges.

READ ALSO: Tinubu debt profile: How much has Nigeria borrowed since 2023?

According to Minister of Power, Mr Adebayo Adelabu, “It’s part of plans to decentralise power generation in Nigeria and get the heavy commercial users that left the power grid because of its unreliability to return.”

Bloomberg reported that the minister’s team confirmed that negotiations with China’s Exim Bank were progressing, while the financing for the super grid had already received cabinet approval.

Just last week, President Bola Tinubu asked the National Assembly to approve plans to raise $2.35 billion in external loans to part-finance the 2025 budget deficit and refinance Nigeria’s maturing Eurobonds, with another request to issue a $500 million sovereign Sukuk to fund infrastructure.

According to the president, the $2.35 billion borrowing was made up of new external loans of N1.843 trillion (about $1.229 billion at N1,500/$), which would help to finance the 2025 Appropriation Act and $1.118 billion to refinance Eurobonds issued in 2018 – due to mature in November 2025.

States, part of the debt binge

The Federal Government under President Tinubu is not the only debtor. States’ domestic debt stood at N3.96 trillion, while external loans totalled $4.81 billion over the period. However, the Federal Government is still the bigger culprit, with its external debt constituting 90 percent ($42.171 billion) of the entire $46.983 billion stock and 95 percent of the total domestic debt (N76.587 trillion vs N80.55 trillion).

Tinubu’s exxternal debt

President Tinubu’s administration is raising the nation’s debt profile as most of his loans are external in nature. Apart from the proposed $1.75 billion from the World Bank, Mr Tinubu had, in October 2024, borrowed a total sum of $6.45 billion from the same institution, according to a document seen on the global lender’s website.

Daily Trust reported that President Tinubu borrowed over N13.21 trillion ($8billion) from the World Bank for different developmental projects in 20 months.

READ ALSO: Contraction: Tinubu denies local borrowing but issues weekly OMO, savings bonds

This is in addition to $500 million borrowed from the Africa Development Bank (AfDB) and another $500 million loan from the African Development Bank Group. Mr Tinubu had also borrowed from international investors through Eurobonds. His administration issued a $1.7 billion Eurobond on December 3, 2024, which was oversubscribed 5.4 times. It also issued another $500 million Eurobond in 2024.

This does not include his last week’s request of $2.35 billion to the National Assembly.

Borrowing more in foreign currency is one reason why President Tinubu’s debt is rising faster than that of his predecessor in naira terms. The naira has devalued by over 50 percent since Mr Buhari left office.