The Federal Government has exceeded its 2025 borrowing target by 55.6%, with N17.36 trillion borrowed in the first 10 months, surpassing the N10.9 trillion target.
This borrowing includes N15.8 trillion from domestic sources and N1.56 trillion from external sources, Peak Newspaper reports.
Experts warn that this trend undermines fiscal consolidation efforts and may crowd out private sector credit, raising borrowing costs and slowing economic growth. The government’s borrowing pattern has sparked concerns about debt sustainability, with Nigeria’s debt-service-to-revenue ratio estimated at 83% in 2024.
Analysts urge the government to deepen fiscal and tax reforms to reduce reliance on domestic borrowing and prioritize spending efficiency.
