Top 10 Nigerian States with the Highest External Debt Service Costs in 2024
In the first half of 2024, Nigerian states collectively spent approximately N139.92 billion on external debt servicing, according to data from the Federal Account Allocation Committee (FAAC) and the National Bureau of Statistics (NBS). This represents a 122% increase from the N63.06 billion spent during the same period in the previous year.
The data shows a notable rise in monthly expenditures from about N9 billion in 2023 to over N20 billion in 2024, more than doubling the debt service costs, likely due to the depreciation of the naira.
Here is a list of the top 10 Nigerian states with the highest external debt service costs for the first six months of 2024:
**10. Osun State**
Osun, in southwestern Nigeria and known for its Osun-Osogbo Festival, incurred N3.4 billion in external debt service costs in 2024. This is a significant increase from N1.57 billion in 2023, marking a rise of N1.83 billion or about 116%.
**9. Adamawa State**
Located in northeastern Nigeria and noted for agriculture, Adamawa’s debt servicing costs climbed from N1.98 billion in 2023 to N3.57 billion in 2024, representing an 80.7% increase of N1.6 billion.
**8. Ogun State**
An industrial center in southwestern Nigeria, Ogun’s debt servicing costs surged from N1.57 billion in 2023 to N4.29 billion in 2024. This increase of N2.72 billion equates to a 172.5% rise.
**7. Rivers State**
In the oil-rich Niger Delta, Rivers State saw its debt servicing costs rise from N1.76 billion in 2023 to N4.6 billion in 2024. This jump of N2.85 billion represents a 161.9% increase.
**6. Edo State**
With its historical significance as the home of the ancient Benin Kingdom, Edo State’s debt servicing costs grew from N2.4 billion in 2023 to N5.9 billion in 2024. This N3.49 billion increase corresponds to a 144.8% rise.
**5. Bauchi State**
Known for its agricultural and mineral wealth, Bauchi’s debt service payments increased from N3.28 billion in 2023 to N6.33 billion in 2024, marking a rise of N3.05 billion or 92.8%.
**4. Oyo State**
Oyo, a prominent southwestern state with a rich history and strong agricultural sector, saw its debt servicing costs rise from N2.61 billion in 2023 to N6.36 billion in 2024. This N3.75 billion increase represents a 143.7% jump.
**3. Cross River State**
Cross River, known for its scenic beauty and vibrant tourism sector, experienced a dramatic rise in debt servicing costs from N2.21 billion in 2023 to N7.87 billion in 2024. The N5.66 billion increase translates to a 255.9% surge.
**2. Kaduna State**
Kaduna, a key economic and political center in northwest Nigeria, saw its debt service costs soar from N9.89 billion in 2023 to N23.08 billion in 2024, reflecting a N13.2 billion increase or 133.4% rise.
**1. Lagos State**
Lagos, Nigeria’s commercial hub, had the highest increase in debt servicing costs, rising from N16.88 billion in 2023 to N32.44 billion in 2024. This significant increase of N15.56 billion represents a 92.2% growth, making Lagos the most indebted state in Nigeria.
