Seven States Borrow N355bn in Three Months Despite Claims

In the first quarter of 2026, seven state governments, including the Federal Capital Territory (FCT), Edo, Borno, Yobe, Benue, Kaduna, and Nasarawa, increased their domestic debt stocks by a total of N355.18bn. This increase occurred despite assertions from some governors that they had not taken on new loans.

The total domestic debt stock for these seven states reached N977.15bn, while the overall domestic debt for all 36 states and the Federal Capital Territory rose from N4.36tn at the end of December 2025 to N4.52tn by March 31, 2026, marking a net increase of N163.25bn or 3.74%. The FCT saw the largest increase, with its debt rising from N188.86bn to N389.88bn, a 106.43% increase.

Edo's debt stock increased by 89.04%, and Borno's by 107.40%. This rise in debt occurred alongside a significant increase in allocations from the Federation Account, which totaled approximately N2.49tn in Q1 2026, up from N1.98tn in the same period of 2025.