10 States With Highest Foreign Debts in Nigeria as External Debt hits $51bn in Q4
- Nigeria’s total external debt stood at N74.43 trillion in Q4 2025, with external debt accounting for 46.73% of total public debt
- Lagos State continue to lead the list of Nigeria’s subnational external debt profile, followed by Kaduna
- The Federal Capital Territory recorded the lowest external debt at $26.80 million, while Zamfara followed
Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
The National Bureau of Statistics has revealed that Nigeria's total external debt stock climbed to $51 billion (N74.43 trillion) in the fourth quarter of 2025.
According to its latest public data report Lagos State has emerged as Nigeria’s most indebted subnational government in terms of external borrowing.
Source: Facebook
The NBS figures indicate that external debt accounted for 46.73% of Nigeria’s total public debt during the period.
Breakdown of external debts top 10 states
Among the 36 states and the Federal Capital Territory (FCT), Lagos recorded the highest external debt profile at $1.17 billion, far ahead of other states. It was followed by Kaduna State with $684.29 million and Edo State with $354.03 million.
Other states in the top 10 debt profile include Cross River ($222.92 million), Bauchi ($220.57 million), Ogun ($216.99 million), Katsina ($200.62 million), Rivers ($170.90 million), Niger ($140.59 million), and Ekiti ($136.31 million).
At the lower end of the ranking, the FCT recorded the least external debt at $26.80 million, followed by Zamfara State with $41.93 million.
Top 10 (highest debt)
- Lagos – $1.17bn
- Kaduna – $684.29m
- Edo – $354.03m
- Cross River – $222.92m
- Bauchi – $220.57m
- Ogun – $217.00m
- Katsina – $200.62m
- Rivers – $170.90m
- Niger – $140.59m
- Ekiti – $136.31m
Lowest 10 (least debt)
- FCT – $26.80m
- Zamfara – $41.93m
- Jigawa – $45.72m
- Yobe – $46.67m
- Taraba – $48.04m
- Akwa Ibom – $55.46m
- Bayelsa – $55.46m
- Benue – $58.35m
- Nasarawa – $60.82m
- Delta – $63.43m
Source: Twitter
Public debt concerns
Nigeria’s rising debt profile continues to attract scrutiny amid concerns over debt servicing costs, foreign exchange pressures, and fiscal sustainability at both federal and subnational levels.
Speaking on the impact of debt on Nigeria, Muda Yusuf, Chief Executive Officer, Centre for the Promotion of Private Enterprise (CPPE) while foreign borrowing can help relieve resource shortages and, if used productively. However, debt service continues to constrain fiscal space.
He said:
“Debt-service obligations continued to constrain fiscal space, undermining budget execution.”
Domestic debt
DMO also revealed that Nigeria’s total public domestic debt stood at N4.36 trillion in th last quarter.
Among the 36 states and the Federal Capital Territory (FCT), Lagos recorded the highest domestic debt stock in Q4 2025 at N1.22 trillion, far ahead of other states. It was followed by Rivers State with N378.81 billion and Delta State with N248.83 billion.
Other states in the top 10 domestic debt profile include Ogun (N227.47 billion), the FCT (N188.86 billion), Enugu (N157.60 billion), Bauchi (N156.05 billion), Niger (N142.67 billion), Cross River (N137.36 billion), and Benue (N107.23 billion).
At the lower end of the ranking, Edo recorded N91.18 billion, followed by Akwa Ibom with N84.85 billion and Oyo State with N77.42 billion.
Top 10 states with highest domestic debt (Q4 2025)
- Lagos – N1.22tn
- Rivers – N378.81bn
- Delta – N248.83bn
- Ogun – N227.47bn
- FCT – N188.86bn
- Enugu – N157.60bn
- Bauchi – N156.05bn
- Niger – N142.67bn
- Cross River – N137.36bn
- Edo – N91.18bn
10 States with lowest domestic debt (Q4 2025)
- Jigawa – N1.60bn
- Ondo – N8.42bn
- Anambra – N11.55bn
- Ebonyi – N13.48bn
- Katsina – N14.11bn
- Kebbi – N14.71bn
- Nasarawa – N26.41bn
- Kogi – N27.95bn
- Sokoto – N47.39bn
- Abia – N48.41bn
Debt service in Nigeria
Legit.ng earlier reported that the Nigerian government spent N8.93 trillion on debt servicing, an equivalent of $6.2 billion, in 9 months.
The record represents 61% of the N14.55 trillion revenue generated in the review period.
The report showed that debt servicing costs were N2.26 trillion in the first quarter, N3.77 trillion in the second, and N2.89 trillion in Q3.
Source: Legit.ng
