The Federal Government has said Nigeria’s N152 trillion public debt reflects improved fiscal transparency and foreign exchange revaluation, rather than a sharp increase in new borrowing.
The explanation was given by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, at the launch of the Nigerian Economic Summit Group (NESG) 2026 Macroeconomic Outlook Report in Lagos.
The clarification follows public concern over the scale of the country’s debt stock, with the government seeking to explain the underlying factors behind the recent increase.
In a statement issued on Thursday by the Special Adviser on Communications, Media and Publicity to the minister, Dr Ogho Okiti, the government said: “The Honourable Minister of Finance and Coordinating Minister of the Economy clarified that the N152 trillion public debt figure is largely the result of transparency and exchange rate correction, not excessive new borrowing.”
According to the Ministry of Finance, about N30 trillion of the total debt comprises previously unrecognised Ways and Means advances that have now been formally captured in government accounts.
The statement noted that these obligations had built up over several years and were recorded as part of efforts to strengthen transparency and accountability in public finance management.
It added that nearly N49 trillion of the increase resulted from the revaluation of Nigeria’s foreign debt following recent foreign exchange reforms, stressing that the adjustment reflects changes in the exchange rate rather than the contracting of new external loans.
Mr Edun said the revised debt figures were not evidence of reckless borrowing but a correction of long-standing gaps in fiscal reporting, adding that accurate data is crucial for sound economic planning and restoring investor confidence.
He reiterated the administration’s commitment to responsible debt management, fiscal discipline and sustainable economic growth, saying ongoing reforms are aimed at improving the credibility of Nigeria’s fiscal data.
The minister also disclosed that the country achieved an 84 per cent execution rate of its 2024 capital budget.
He explained that the decision to extend the budget implementation period to March 2026 was taken to allow for the completion of ongoing projects and to address funding challenges, particularly in critical infrastructure.
According to him, the extension will help ensure that priority development projects are completed rather than abandoned, despite prevailing fiscal constraints.