The domestic debt profile of the 36 states stood at N2 .96 trillion as of March 31, 2017, according to the Debt Management Office, DMO.
Data released by the DMO said the debt rose from N1.69 trillion at the same time in 2015, representing an increase of N1.27 trillion.
The office made the disclosure as it also stated that Nigeria’s total debts – foreign and local – have risen to N19.16 trillion.
The nation’s indebtedness to creditors – local and foreign – rose from the N17.36 trillion recorded at the end of December 2016, representing an increase of N1.8 trillion.
The DMO added that as at the end of March 2015, the country’s total debt stood at N12.06 trillion, representing an increase of N7.1 trillion in two years.
“The Nigerian government’s domestic debt stood at N11. 97 trillion, as against N8.51 trillion recorded in 2015. This represents a domestic borrowing record of N3.46 trillion, representing 40.71 per cent.
“On the other hand, Nigeria’s external debt for the federal and state governments rose from $9.46 billion to $13.81 billion in two years, representing an increase of $4.35 billion, put at 45.98 per cent,” it stated.
The DMO noted that the official exchange rate of N306.35 to $1 was deployed in calculating the country ’s external debt for March 31, 2017, while the official rate of N197 to $1 was used in determining the foreign debt for March 31, 2015.
Hit by dwindling oil revenues, the Nigerian government has had to resort to borrowing to finance its numerous projects and meet other developmental demands.
However, experts have raised concerns over the government’s borrowing plans, with many suggesting that it is dangerous for the nation’s finance.