The Nigerian public debt profile rose by over N1 trillion in just three months between June 30 to September 30, a new release by the Debt Management Office revealed.

As of September 30, 2022, Nigeria’s total debt stock rose N44.06 trillion as against N42.84 trillion recorded on June 30, the DMO stated.

The debt “comprises the Total Domestic and External Debt Stock of the Federal Government of Nigeria (FGN), all State Governments and the Federal Capital Territory (FCT),” Debt Management Office disclosed in a statement on Friday.

According to DMO, the increase in the public debt stock was largely due to new borrowings by the federal government to finance the deficit in the 2022 Appropriation Act, as well as new borrowings by state governments.

With a proposal to further borrow over N11 trillion to fund the 2023 budget deficit, President Muhammadu Buhari may bequeath a debt profile in excess of N55 trillion when he leaves office next May.

Former President Olusegun Obasanjo, under whose leadership Nigeria cleared its external debts, earlier in the year criticised the incumbent regime for accumulating debt for future generations, describing it as a “foolish” and “criminal” act. 

But Mr Buhari’s media adviser Femi Adesina justified the huge borrowings, saying the regime is borrowing for infrastructural development unlike past governments who looted loans.