Finance Minister Wale Edun has said that Nigeria’s current public debt of ₦152 trillion was not caused by excessive borrowing.
He spoke at the launch of the Nigerian Economic Summit Group (NESG) 2026 Macroeconomic Outlook Report in Lagos,where he also described the figure as a product of transparency measures and exchange rate adjustments, not fiscal irresponsibility.
According to him, about ₦30 trillion stems from previously unrecorded Ways and Means advances now formally on the books, while nearly ₦49 trillion arises from revaluing foreign-denominated debt after naira devaluation reforms.
He noted Nigeria’s debt-to-GDP ratio has improved to 36.1% – one of Africa’s lowest and well below the global average – signaling a healthier fiscal position despite the headline number.”Our debt figures reflect transparency and exchange rate correction, not reckless borrowing,” Edun stated, urging media and the public to focus on ratios over raw totals.
Edun highlighted 2025 gains that underpin debt sustainability: inflation dropped from 33.18% in 2024 to 14.45% by November 2025; GDP grew at 3.78% through Q3; external reserves hit $45.5 billion; the naira stabilised below ₦1,500 per dollar; and a ₦19.33 trillion trade surplus emerged in the first nine months.
Fiscal discipline held firm too, with a 3.4% GDP deficit, stronger non-oil revenues, and 84% execution of 2024’s capital budget despite oil revenue shortfalls. States benefited from enhanced federal allocations, bolstering fiscal federalism.
Edun projected 4.68% GDP growth, inflation averaging 16.5%, and naira stability around ₦1,400 per dollar.
The ₦58.18 trillion “Budget of Consolidation, Renewed Resilience, and Shared Prosperity” allocates ₦26 trillion to capital projects – 44% of total spending – funded by a deliberate 4% deficit tied to development needs.
He said structural reforms will safeguard debt management, including full digitalisation of revenue collection, treasury transparency, elimination of leakages, and a pro-poor tax regime exempting essentials while widening the base.
“Nigeria cannot afford to pause or retreat. The task now is to turn stability into sustained, inclusive, and job-rich growth,” Edun emphasised.
He linked reforms to everyday relief: lower food prices, better housing, electricity, roads, jobs, and social protection.