Nigerian States' Foreign Debt Service Rises 25.77% to N455.38 Billion in 2025

The Nigerian states' foreign debt service rose by 25.77% to N455.38 billion in 2025 compared to N362.08 billion in 2024, as per data from the Federal Account Allocation Committee (FAAC) released by the National Bureau of Statistics (NBS). The total foreign debt service burden stood at N40.09 billion in January 2025, slightly increasing to N40.20 billion in July.

The top 10 states, including Kano and Ebonyi, accounted for 68.57% of the total foreign debt service during the year. The South West region recorded the highest foreign debt service at N162.77 billion, followed by the South South at N100.37 billion.

The North West posted N81.97 billion, while the North East recorded N42.42 billion. The South East accounted for N40.20 billion, and the North Central reported the lowest at N27.65 billion.

This concentration of debt service highlights the significant foreign exposure faced by states amidst fiscal pressures.