• Hausa Edition
  • Podcast
  • Conferences
  • LeVogue Magazine
  • Business News
  • Print Advert Rates
  • Online Advert Rates
  • Contact Us
Wednesday, August 27, 2025
Leadership Newspapers
Read in Hausa
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us
No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us
No Result
View All Result
Leadership Newspapers
No Result
View All Result

Nigeria’s Household Debt Rises To $38.7bn In Q1, Highest In 20 Years

by BUKOLA ARO-LAMBO
2 months ago
in Business
Share on WhatsAppShare on FacebookShare on XTelegram

Household debt in Nigeria has risen to $38.7 billion at the end of the first quarter of 2025,

Advertisement

The latest figure is the highest level since 2005 when it was $4.6 billion.

The figure however increased by 4.6 per cent compared to $37 billion in the first quarter of 2024, according to the Global Debt Monitor from the Institute of International Finance (IIF), a Washington-based association representing over 400 global financial institutions.

According to data provided in the Global Debt Monitor Nigeria’s household debt now surpasses the combined debt of non-financial and financial corporations, which stands at $12.6 billion and $23.6 billion, respectively at the end of the first quarter of 2025.

It is however much lower than the public debt, estimated at $98.8 billion.

RELATED

Flight Cancellation: NCAA Launches Complaints Automation Portal

NCAA Launches First SERVICOM Integrated Service Charter

9 hours ago
Equities Market Extends Rebound With N204bn Gain

Equities Market Extends Rebound With N204bn Gain

9 hours ago
ADVERTISEMENT

The data showed that public debt had declined substantially from $195.3 billion in the first quarter of 2023, the highest recorded since 2005. This shows a 49.4 per cent decline in public debt between the first quarter of 2023 and the first quarter of 2025. Compared to last year, when it was $91.9 billion, public debt had risen by 7.5 per cent.

Similarly, non-financial corporates’ debt which had hit $48.5 billion in the first quarter of 2023 had been on a decline dropping to $10.9 billion in the first quarter of last year before rising to $12.6 billion in the first quarter of 2025.

For financial corporates, debt has remained relatively stable hovering in the range of $20 billion since 2019. It had also reached its peak in the first quarter of 2023 when it stood at $27.9 per cent before dropping to $20.5 billion in the first quarter of 2024. It however rose to $23.6 billion at the end of the 2025 Q1.

ADVERTISEMENT

According to the IIF, household debt is the financial commitments individuals and families undertake for personal consumption or investment. This includes mortgage loans, consumer credit, and bank overdrafts. While the data does not explicitly state if sole proprietorships are included, regional trends suggest the debt primarily relates to private households, with small family businesses often accounted for separately.

This debt represents 20.4 per cent of Nigeria’s gross domestic product (GDP). This is a high ratio for an emerging economy, especially given persistent inflation, which was 23 per cent in February 2025, according to the Central Bank of Nigeria. Furthermore, per capita income in Nigeria remains low at around $2,000, according to the World Bank in 2023.

 

Although the IIF report did not provide a breakdown of loan types, the World Bank suggests that consumer credit and bank overdrafts likely dominate borrowing in the country. A February 2025 Central Bank of Nigeria report indicated consumer loans saw a slight dip from $2.6 billion in January to $2.5 billion in February. This reflects growing caution among banks regarding default risks.

 

Conversely, outstanding credit in the agriculture and services sectors, often driven by family-run businesses, has seen a modest increase. This highlights small, informal businesses’ increasing reliance on credit due to limited access to formal savings mechanisms. Banking penetration in Nigeria is only around 40 per cent according to the World Bank.


Join Our WhatsApp Channel

Nigerians can now earn US Dollars monthly by acquiring domains cheaply and reselling for profits up to $18,000 (nearly ₦30Million). Beneficiaries include professionals, entrepreneurs, civil servants and more. Click here to start.


SendShare10173Tweet6358Share
ADVERTISEMENT
Previous Post

Nigeria Gains 300,000bpd Through 1m Barrels Initiative — NUPRC

Next Post

BAT Nigeria Demonstrates Resilience, Commits To Local Impact

BUKOLA ARO-LAMBO

BUKOLA ARO-LAMBO

You May Like

Flight Cancellation: NCAA Launches Complaints Automation Portal
Business

NCAA Launches First SERVICOM Integrated Service Charter

2025/08/27
Equities Market Extends Rebound With N204bn Gain
Business

Equities Market Extends Rebound With N204bn Gain

2025/08/27
State Of Emergency In Rivers: Way Forward
Business

Tinubu Bans Raw Shea Export For Six Months, Eyes $300m Revenue Boost

2025/08/27
Nigeria’s Poor Electricity, Weak Infrastructure Hinder Growth But Present Investment Opportunities – Awele Elumelu
Business

Nigeria’s Poor Electricity, Weak Infrastructure Hinder Growth But Present Investment Opportunities – Awele Elumelu

2025/08/27
Renaissance Energy Africa Reaffirms Commitment To Safety Operations
Business

Renaissance Energy Africa Reaffirms Commitment To Safety Operations

2025/08/27
Dangote Cement Records Impressive Topline Growth, Sustains Profitability
Business

Dangote Cement Urges Multi-sector Collaboration To Combat Youth Unemployment

2025/08/27
Leadership Conference advertisement

LATEST

Taylor Swift Announces Engagement To Travis Kelce

PICTORIAL: APC, PDP Supporters Dump Parties For ADC In Damagun’s Hometown

Adamu Aliyu Makes Waves In Latvian Football, Eyes Nigeria Call-Up

Federal Gov’t To Train 7m Youths In Digital Skills

2027: Despite Endorsing Tinubu, APC Throws Presidential Ticket Open

Akpabio Charges Nigerians On Maintenance, Protection Of Gov’t Facilities

Osun Monarch Jailed 56 Months For COVID Fraud In US

Gov Radda Cuts Leave Short To Visit Community Attacked By Bandits In Katsina

2027: FCT PDP Stakeholders Reject Zoning To South, Endorse Olawepo-Hashim

Okigwe Killings Represent Governance Failure – Ihedioha

© 2025 Leadership Media Group - All Rights Reserved.

No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us

© 2025 Leadership Media Group - All Rights Reserved.