Nigeria's General Government Debt (% of GDP), 1990-2022

Nigeria's debt-to-GDP ratio exhibited a steady increase from 2011 to 2022. Starting at 17.4% in 2011, the ratio rose gradually due to various economic factors, including lower oil revenues and increased borrowing to fund infrastructural projects. In 2015, the ratio reached 20.3%, reflecting Nigeria’s efforts to stimulate economic growth through fiscal expansion amid declining oil prices that negatively impacted revenues.

The trend of rising debt continued, with significant increases seen post-2016 when the debt-to-GDP ratio grew to 23.4% and later 27.7% in 2018. This rise was partly due to external debt accumulation as Nigeria sought to diversify its economy and address fiscal deficits. By 2022, Nigeria’s debt ratio peaked at 38.0%, reflecting continued borrowing as the government tackled economic challenges exacerbated by the COVID-19 pandemic and persistent inflationary pressures.