Economy: Nigeria’s Debt Hits Highest N134trn Under Tinubu

Nigeria’s total debt has hit the roof tops under the administration of President Bola Ahmed Tinubu.

The debt made up of local and external debts have risen to N134 trillion from N121 trillion in the second quarter of 2024, according t a report from the Ministry of Finance.

The report reveals that the major reason for the risen debt is not unconnected with the devaluation of the national currency, Naira by the administration.

From barely N500 to the American Dollar, the federal government floated the naira which resulted in its value to the American greenback declined by over 200 percent.

The current naira exchange rate to the dollar is about N1,650.

The devaluation has triggered a high debt rate even though experts insist that the foreign component of the dent remains the same, while the local debt continues to move the south as naira value continue on a downward slide.

“In Q2 2024, the debt stock grew in naira terms to N134.3 trillion ($91.3 billion) from N121.7 trillion ($91.5 billion) in Q1 2024, driven mainly by exchange rate devaluation. The dollar amount of debt was roughly the same,” the report said.