Lagos, FCT, Rivers Account for 43% of States’ N4.52tn Domestic Debt — DMO
Lagos State, the Federal Capital Territory (FCT) and Rivers State accounted for more than 43 per cent of the N4.52 trillion domestic debt owed by Nigeria’s 36 states and the FCT as of March 31, 2026.
The figures are contained in the first-quarter 2026 domestic debt report released by the Debt Management Office (DMO).
The three entities had a combined domestic debt of N1.96 trillion, representing 43.27 per cent of the total N4.52 trillion debt stock recorded during the period.
Lagos remained the largest debtor, with N1.21 trillion in domestic debt, accounting for about 26.6 per cent of the combined debt stock.
The FCT followed with N389.88 billion, while Rivers State had N362.43 billion.
Delta State ranked fourth with N213.85 billion, followed by Ogun State with N200.75 billion.
At the other end of the scale, Jigawa had the lowest domestic debt at N1.60 billion, followed by Ondo with N7.31 billion and Anambra with N9.62 billion.
Other states with debt stocks below N20 billion included Ebonyi at N12.30 billion, Katsina at N12.69 billion and Kebbi at N14.58 billion.
The data shows a significant concentration of domestic debt among a relatively small number of states, with the five largest debtors accounting for a substantial portion of the total.
Overall, the combined domestic debt of the 36 states and the FCT increased by N163.25 billion, or about 3.7 per cent, between December 2025 and March 2026.
The FCT recorded the largest increase during the period, with its debt rising from N188.86 billion in December 2025 to N389.88 billion in March 2026.
Edo also recorded a significant increase, with its domestic debt climbing from N91.18 billion to N172.37 billion. Borno’s debt rose from N42.64 billion to N88.44 billion, while Yobe increased from N81 billion to N98.59 billion.
However, several major debtors recorded declines.
Lagos reduced its domestic debt from about N1.22 trillion in December 2025 to N1.21 trillion in March. Rivers’ debt fell from N378.81 billion to N362.43 billion, while Delta reduced its debt from N248.83 billion to N213.85 billion.
Ogun also recorded a decline, with its domestic debt falling from N227.47 billion to N200.75 billion.
The DMO’s fourth-quarter 2025 figures had placed the combined domestic debt of the states and FCT at N4.36 trillion.
At the time, Lagos was the largest debtor with N1.22 trillion, followed by Rivers at N378.81 billion, Delta at N248.83 billion, Ogun at N227.47 billion and the FCT at N188.86 billion.
The latest figures therefore show a mixed debt position across the country, with some states accumulating higher domestic obligations while others reduced their outstanding debt.
Lagos’ debt position comes amid strong revenue performance by the state. The state generated N1.67 trillion in recurrent revenue during the first half of 2026, reaching 90 per cent of its half-year target.
The Lagos State Government also has an approved N4.44 trillion budget for the 2026 fiscal year, comprising N2.052 trillion in recurrent expenditure and N2.185 trillion in capital expenditure.
