Nigeria's Debt Service Hits N16.26 Trillion Under Tinubu

Under President Bola Ahmed Tinubu's administration, Nigeria's total debt service has escalated sharply to N16.26 trillion, with projections indicating it will reach N4.86 trillion by Q4 2025. This represents a 37.86% increase from N3.52 trillion in Q3 2025 and a 49.93% rise from N3.24 trillion in Q4 2024.

The upward trend in debt service began in Q3 2023, marked by a 270.78% surge in external debt service, contributing to a 234.78% increase in total debt service. The quarterly debt service has consistently exceeded N2 trillion, surpassing N3 trillion and N4 trillion thresholds, driven by repayment volumes rather than exchange rate pressures.

The analysis indicates that Nigeria's debt service to revenue ratio is projected to reach 60.73% by 2026-2028, highlighting the growing fiscal strain and limiting the government's ability to fund growth and investments. The increasing reliance on external debt adds further risk to repayment requirements amid global financial conditions.