Nigeria's external debt hits $145 billion, up 74% in a decade — World Bank
Nigeria's total external debt reached $145.02 billion in 2025, a 6.6% jump from 2024 and a 74.3% surge from $83.21 billion in 2015, according to the World Bank's International Debt Report 2026. Private non-guaranteed debt ($54.48 billion) and short-term obligations ($28.14 billion) now make up over half the total, meaning Nigeria's exposure extends well beyond government borrowing.
Public and publicly guaranteed debt stands at $62.4 billion, split among multilateral creditors ($31.37 billion led by World Bank's IDA at $18.53 billion), bilateral creditors ($6.68 billion with China holding $5.67 billion), and private creditors ($24.35 billion). Debt service consumed 19% of export earnings and 5% of GNI in 2025. New private borrowing carries 9.6% interest versus 1.9% from official sources.
Nigeria returned to international markets in 2025 with a $2.3 billion dual-tranche bond (10-year at 8.625%, 20-year at 9.125%) and executed a $5 billion Total Return Swap in 2026 collateralised at 133%. The World Bank warns rising debt-service burdens are crowding out infrastructure, healthcare, and education spending across developing nations, and stresses transparency as a shared responsibility.
With debt at 212% of exports and 51% of GNI, every naira earned abroad increasingly services debt rather than building roads, hospitals, or schools. As private borrowing costs near 10%, will the government prioritise concessional financing, boost export earnings to lower the ratio, or accept higher debt-service allocations in future budgets?