Nigeria’s debt burden has crossed the legal line, Speaker of the House of Representatives Abbas Tajudeen warned on Monday in Abuja.
He raised the alarm at the opening of the 11th Annual Conference and General Assembly of the West Africa Association of Public Accounts Committees (WAAPAC).
According to him, Nigeria’s total public debt climbed to ₦149.39 trillion (about US$97 billion) in the first quarter of 2025. This was a sharp rise from ₦121.7 trillion the year before.
Abbas noted that the debt-to-GDP ratio has now hit 52%, well above Nigeria’s statutory ceiling of 40%.
“As at the first quarter of 2025, Nigeria’s total public debt stood at ₦149.39 trillion, equivalent to about US$97 billion. This represents a sharp rise from ₦121.7 trillion the previous year,” he said.
“Even more concerning is the debt-to-GDP ratio, which now stands at roughly 52 percent, well above the statutory ceiling of 40 percent set by our own laws.”
The Speaker warned that this breach signals a growing threat to fiscal sustainability. He urged stronger oversight, transparent borrowing practices, and reforms that ensure loans deliver real economic and social benefits.
He added that across Africa, many nations already spend more on debt servicing than on healthcare. “Nigeria must avoid a similar situation,” he cautioned.
Regional Oversight Initiative
To confront the risk, Abbas announced plans to create a West African Parliamentary Debt Oversight Framework under WAAPAC.
The initiative will harmonise debt reporting across the sub-region, set transparency standards, and equip parliaments with reliable data for scrutiny.
He also spoke of a regional training programme that will build capacity for debt sustainability analysis and fiscal risk assessments.
The Speaker insisted that borrowing must target infrastructure, health, education, and industries that create jobs and reduce poverty.
He warned against reckless debt driven by consumption or corruption, stressing: “Such borrowing must be rejected outright.”
Abbas reaffirmed the 10th House’s commitment to accountability. Under the Open Parliament policy, major borrowing proposals will face public hearings. Citizens will also have access to simplified debt reports.
Some countries’ debt-to-GDP ratio is well over 100%, so do you think Nigeria’s debt is still manageable, or are we already on a dangerous path?
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