Worrisome: Nigeria's Debt at U.S.$48.5 Billion 

Nigerian's total debt hits $48.49 billion, more concerns are being raised over the rising level of the country's debt, both home and abroad.

Currently, Nigeria's external debt stock stands at $6.52 billion or N1.016 trillion while domestic debt stock hovers around $41.96 billion or N6.537 trillion, bringing total debt stock to N6.55 trillion as at December 31, 2012, according to figures on the website of the Debt Management Office.


According to the DMO, the debt portfolio of the country's 36 states and the Federal Capital Territory, (FCT) rose from N1.42 trillion in December 2011 to N1.86 trillion by the end of June 2012. The leading debtor states in their order of indebtedness are Lagos, Cross Rivers, Bayelsa, Rivers, Delta, Imo and Kaduna. Crisis torn states of Borno and Yobe are the least indebted.However, on the basis of debt solvency and liquidity ratio analysis relative to revenue inflow to states, Cross River is the heaviest debtor, with the highest burden rating of 138.86 per cent as at December 2011. 
Bayelsa and Lagos with a burden score of 104.93 per cent, and 73.21 per cent came second and third respectively.

The Governor of the Central Bank of Nigeria (CBN), Mallam Sanusi Lamido Sanusi, had also joined in the call for caution in increase in the nation's debt when he stated that "we are borrowing more money today at a higher interest rate while leaving the heavy debt burden for our children and grandchildren."For example, if you receive your salary and every day the money is not enough, you have two options to adjust yourself; either check your expenditure or check your wages." He went on to advise the federal government not to allow "present and unborn generations inherit the heavy burden of foreign debt since Nigeria is currently in big danger because of it."

source: allafrica