By Daily Touch Insights Editorial Team
Editorial Team
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BUSINESS & GOVERNANCE — The Federal Capital Territory's domestic debt has increased more than fourfold since Nyesom Wike became Minister of the FCT, moving Abuja from one of Nigeria's least-indebted sub-national governments to the second-highest domestic debtor, according to an analysis of Debt Management Office data.
When Wike assumed office in August 2023, the FCT's domestic debt stood at N88.51 billion as of September 2023. By March 2026, the figure had reached N389.88 billion.
That represents an increase of N301.37 billion, or about 340.5 percent, over roughly two and a half years. The figures were reported in an analysis by Premium Times based on DMO records. 0
From Ninth-Lowest to Second-Highest
The change in the FCT's position is perhaps more striking than the increase itself.
In September 2023, Abuja ranked 29th among Nigeria's 36 states and the FCT in domestic debt, making it the ninth-least indebted sub-national government.
By March 2026, it had moved to second place, behind only the sub-national government with a higher domestic debt stock.
The shift places the FCT in a dramatically different financial position from the one Wike inherited.
The Debt Did Not Rise Immediately
The FCT's debt trajectory during Wike's tenure was not a continuous upward climb.
Domestic debt initially increased from N88.51 billion in September 2023 to N94.01 billion in March 2024.
It then declined significantly, reaching N84.64 billion in June 2024 and N53.43 billion in September 2024.
The debt later began rising again, reaching N63.56 billion in December 2024 and N61.11 billion in March 2025.
By June 2025, it stood at N71.04 billion before increasing to N78.93 billion in September.
The Sharpest Increase Came at the End of 2025
The most dramatic change occurred during the final quarter of 2025.
The FCT's domestic debt jumped from N78.93 billion in September to N188.86 billion by December.
That was an increase of N109.93 billion in only three months.
The increase accelerated further during the following quarter.
By March 2026, domestic debt had reached N389.88 billion — more than twice the December figure.
N200.99 Billion Added in Three Months
The numbers show just how concentrated the recent increase was.
Between December 2025 and March 2026, the FCT added approximately N200.99 billion to its domestic debt stock.
That three-month increase alone was more than twice the FCT's entire domestic debt stock when Wike took office.
It is the sharp acceleration that makes the latest figures particularly significant.
FCT Revenue Has Also Increased
The increase in debt has occurred alongside substantial inflows to the territory from the Federation Account.
Premium Times' analysis of FAAC allocations found that the FCT received N432.13 billion between August 2023 and March 2026.
The amount included N47.69 billion received during the final months of 2023, N136.79 billion in 2024, N204.16 billion in 2025 and N43.49 billion during the first three months of 2026.
These figures, however, do not represent the FCT's total revenue because they exclude internally generated revenue and other receipts. 1
Recent Monthly Allocations Have Been Large
The FCT continued receiving substantial Federation Account allocations after March 2026.
It received N24.28 billion in April and N30.62 billion in May 2026, bringing the combined allocation for those two months to N54.90 billion.
According to the analysis, those were the highest monthly FAAC receipts recorded for the FCT during the period examined.
This means the debt figures should be considered alongside the territory's growing revenue inflows rather than viewed in isolation.
What the Public Records Do Not Show
One of the biggest issues raised by the analysis is the limited availability of detailed financial records from the FCT Administration.
Premium Times reported that it could not find successive budget documents, budget-performance reports and audited financial statements covering the period since Wike assumed office.
That makes it difficult for independent observers to determine precisely why the additional borrowing occurred, what the borrowing terms were and how the funds were ultimately used. 2
Debt Alone Does Not Prove Mismanagement
A sharp increase in debt does not automatically mean that money was wasted.
Governments can borrow to finance infrastructure and other investments that may generate economic benefits over time.
The more important questions are how much was borrowed, under what conditions, where the money went and whether the projects financed by the borrowing provide sufficient value to justify the additional liabilities.
Without complete financial records, those questions are difficult to answer independently.
Why Transparency Matters
The FCT occupies an unusual position within Nigeria's public-finance structure.
It is not a state, but it receives allocations from the Federation Account and is administered by a minister appointed by the president.
Because of that structure, transparency around borrowing, spending and revenue is particularly important.
Residents and taxpayers need access to enough information to understand how public money is being raised and spent.
Wike's Infrastructure Programme Is Central to the Debate
Wike has placed infrastructure development at the centre of his administration of the FCT.
Road construction, transportation infrastructure, urban development and other capital projects have featured prominently in the administration's agenda.
Large infrastructure programmes can require substantial financing, particularly when governments attempt to complete multiple projects simultaneously.
The central financial question is whether the resulting infrastructure will generate benefits large enough to justify the cost of the borrowing.
The FCT Is Not the Only Government Increasing Debt
The FCT's increase is occurring within a broader environment in which several Nigerian sub-national governments have experienced changes in their debt positions.
For example, Premium Times has reported that Edo State also moved significantly upward in the domestic-debt ranking during the tenure of Governor Monday Okpebholo.
The broader trend shows why rankings alone do not tell the entire story of a government's finances.
The Most Important Number May Be What the Debt Produces
Debt should ultimately be judged by its results.
If borrowed money creates productive infrastructure, improves transportation, increases economic activity and expands the territory's future revenue capacity, the debt could potentially be justified.
If borrowing produces little measurable improvement while repayment obligations increase, the financial position becomes much more concerning.
That distinction cannot be established from the debt stock alone.
What Happens Next Matters More
The FCT's latest debt position creates a new financial challenge for the administration.
As liabilities rise, future budgets may have to accommodate larger debt-service obligations.
That can reduce the amount of money available for new projects unless revenue grows quickly enough to offset the additional burden.
The sustainability of the borrowing will therefore depend heavily on future revenue and expenditure management.
Our Perspective
The movement from ninth-lowest to second-highest domestic debt is too significant to dismiss.
But it would also be intellectually weak to conclude from that statistic alone that Wike has mismanaged the FCT.
The missing piece is transparency.
The public needs to see the borrowing agreements, project costs, expenditure records and budget-performance data before anyone can make a strong judgment about whether the debt surge represents productive investment or financial overreach.
The real story is not simply that Abuja borrowed more money. It is whether N389.88 billion in domestic debt is producing enough public value to justify the financial burden now placed on the FCT.
Conclusion
The FCT's domestic debt has risen from N88.51 billion in September 2023 to N389.88 billion by March 2026, according to Debt Management Office data analysed by Premium Times.
The increase of N301.37 billion, or 340.5 percent, moved Abuja from 29th among Nigeria's 37 sub-national governments in domestic debt to second-highest. 3
The sharpest increase occurred between September 2025 and March 2026, when debt jumped from N78.93 billion to N389.88 billion.
At the same time, the FCT has received substantial Federation Account allocations, including N432.13 billion between August 2023 and March 2026.
With detailed FCT financial records not readily available, the next critical issue is transparency: Nigerians need to know exactly why the borrowing increased, where the money went and whether the infrastructure and economic benefits will justify the debt.
