Nigeria’s Debt Service Hits N12.6tn in Nine Months, Overshoots 2025 Budget by N1.9tn

Fresh data from the Budget Office of the Federation shows that debt-related payments climbed to N12.63tn between January and September 2025. This exceeds the prorated budget allocation of N10.74tn by N1.90tn or 17.65%, driven largely by domestic and foreign debt service. Domestic debt obligations rose to N6.23tn against a N5.39tn provision, while foreign debt service reached N6.30tn versus N5.06tn budgeted. In total, debt payments absorbed about 67.8% of retained revenue, leaving just N33 for salaries, capital projects and other needs. Meanwhile, actual revenue fell short of projections by N12.03tn or 39.24% in the first three quarters. Capital expenditure was slashed to N3.10tn against a N17.58tn target, highlighting how debt servicing crowds out development spending. The fiscal deficit stood at N6.03tn, below the prorated N10.58tn. Finance Minister Taiwo Oyedele says the government is exploring refinancing options and tapping concessional loans amid stronger oil prices and improved market conditions.

Use The App To Win ₦1m

Stories are shared by community members. This article does not represent the official view of NaijaWorld — the author is solely responsible for its content.