Makinde Keeps Oyo Out of Nigeria’s Most Indebted States as Lagos, Rivers Top Debt Chart — DMO

Oyo State did not feature among the 12 states with the highest domestic debt stock as of September 2025, according to new data released by the Debt Management Office, reflecting Governor Seyi Makinde’s position that the state will avoid excessive borrowing.

The latest DMO figures published by Statisense show Lagos State leading the chart with ₦1.05 trillion, representing 26.1% of the total domestic debt held by the 12 listed states. Rivers followed with ₦381.21 billion (9.5%), while Delta recorded ₦247.17 billion (6.2%).

Enugu (₦194.72bn, 4.9%), Ogun (₦168.09bn, 4.2%), Bauchi (₦158.20bn, 4.0%), Niger (₦143.50bn, 3.6%), Cross River (₦141.94bn, 3.5%), Benue (₦107.25bn, 2.7%), Akwa Ibom (₦95.51bn, 2.4%), Imo (₦90.51bn, 2.3%), and Taraba (₦89.74bn, 2.2%) completed the top 12 list.

States With Highest Domestic Debt September 2025 (DMO)
Rank State Debt Stock % Share
1 Lagos ₦1.05T 26.1%
2 Rivers ₦381.21B 9.5%
3 Delta ₦247.17B 6.2%
4 Enugu ₦194.72B 4.9%
5 Ogun ₦168.09B 4.2%
6 Bauchi ₦158.20B 4.0%
7 Niger ₦143.50B 3.6%
8 Cross River ₦141.94B 3.5%
9 Benue ₦107.25B 2.7%
10 Akwa Ibom ₦95.51B 2.4%
11 Imo ₦90.51B 2.3%
12 Taraba ₦89.74B 2.2%
The absence of Oyo State from the ranking aligns with Governor Makinde’s repeated pledge to run a fiscally disciplined administration and prioritize internally generated revenue, private sector partnerships, and project-specific financing over accumulating unsustainable debt.

Analysts note that keeping debt levels moderate gives the state more fiscal headroom for capital projects, social investment, and timely payment of obligations, especially as states contend with inflationary pressures and FAAC allocation volatility.

The DMO data groups the 12 states by geopolitical zones: South West (SW) Lagos, Ogun; South South (SS) Rivers, Delta, Cross River, Akwa Ibom; South East (SE) Enugu, Imo; North Central (NC) Niger, Benue; North East (NE) Bauchi, Taraba.

While domestic debt is not inherently negative, experts warn that high debt service costs can crowd out spending on health, education, and infrastructure if not matched with revenue growth.

Oyo State’s exclusion from the top debtors’ list comes as the Makinde administration continues to push its economic expansion agenda, including agribusiness, solid minerals development, and infrastructure renewal under the Alternative Project Funding Approach.