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flag Nigeria’s debt hit N152.4 trillion by June 2025, driven by rising borrowing costs and debt servicing, despite claims of reduction.

flag Nigeria’s public debt rose to N152.4 trillion by June 2025, nearly doubling since 2023, despite government claims of debt reduction. flag While official data shows a drop in external debt, rising debt servicing—driven by exchange rate shifts and maturing loans—has strained the budget, consuming a large share of revenue. flag Recurrent spending exceeded projections by over N1.6 trillion, with debt servicing far surpassing estimates. flag High borrowing costs, fueled by a 27% Minimum Rediscount Rate, have made credit unaffordable for businesses, stifling growth. flag Critics warn the government’s reliance on debt to fund operations and bureaucracy risks a deepening debt trap, urging fiscal reform and reduced borrowing to free capital for private sector development.

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