THE BREAKDOWN: 22 states, FCT reduced their domestic debts by N176bn in Q3 2023

December 25

10:11 2023

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The domestic debt stock of 22 states and the federal capital territory (FCT) shrunk by a significant N176.3 billion in the third quarter (Q3) of 2023, according to data from the Debt Management Office (DMO).

The DMO said the total domestic debt for the 36 states and the FCT reduced by N74.64 billion in three months.

As at June 2023, the states’ domestic debt stood at N5.82 trillion but fell to N5.74 trillion in September, the agency said.

According to the latest report, only 22 out of 36 states and the FCT reduced their debts in Q3, compared to 15 states in the second quarter (Q2).

The states were Delta, Lagos, Akwa Ibom, Bayelsa, Adamawa, Abia, Anambra, Ebonyi, Imo, Ekiti, Niger, Kogi, Ondo, Taraba, Enugu, Kaduna, Oyo, Kwara, Osun, Sokoto, Jigawa, Kebbi, and FCT.

In a quarter marked by debt reduction efforts across the states, Delta emerged top, slashing its domestic liabilities by a jaw-dropping N93.9 billion, compared to Lagos’ N35.94 billion and FCT’s N7.79 billion.

Here is a breakdown of states that reduced domestic debts in Q3:

Delta: N93.92 billion
Lagos: N35.94 billion
FCT: N7.79 billion
Akwa Ibom: N6.13 billion
Bayelsa: N5.18 billion
Adamawa: N5.16 billion
Abia: N3.69 billion
Anambra: N2.68 billion
Ebonyi: N2.54 billion
Imo: N1.94 billion
Ekiti: N1.89 billion
Niger: N1.76 billion
Kogi: N1.35 billion
Ondo: N1.28 billion
Tarawa: N1.02 billion
Enugu: N983.96 million
Kaduna: N697.18 million
Oyo: N634.50 million
Kwara: N618.21 million
Osun: N437.88 million
Sokoto: N300.11 million
Jigawa: N242 million
Kebbi: N67.09 million

KANO, OGUN DEBT REMAINS UNCHANGED

Meanwhile, the debt burden of Kano and Ogun remained unchanged in Q3 this year, TheCable Index analysis of the data shows.

The two states maintained their domestic debt levels at N122.36 billion and N293.20 billion respectively, while 12 other states saw their debt profiles rise in the past three months.

The DMO said Katsina led the pack in debt growth, with a N36.94 billion jump (59% increase), leaving Bauchi (N15.13 billion), Zamfara (N11.99 billion), and Plateau (N11.86 billion) behind.

Here is a list of 12 states that increased their domestic debt in Q3: