Abuja’s domestic debt jumped by over 500% to N389 billion under Minister Nyesom Wike despite receiving huge federal funds.
The local debt owed by the Federal Capital Territory, which covers Abuja, has skyrocketed by over 500% in just one year to reach a massive N389 billion.
Official financial records released on Thursday, September 10, 2026, show that under the leadership of Minister Nyesom Wike, the local debt jumped from around N61 billion in March 2025 to N389 billion by March 2026.
This heavy increase happened even though the central government sent a total of N227 billion in monthly federal allocations to the capital territory during the same period.
The main reason why financial experts and public observers are worried is that the money coming into Abuja from the federal government was very high, yet the city’s borrowing grew far bigger than the total money received.
Records reveal that between December 2025 and March 2026 alone, the administration borrowed an extra two hundred billion naira in just 3 months.
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While the minister has been spending money on road building and local project construction across the city, critics and lawmakers are asking hard questions about why so much debt was taken, how the loans will be paid back, and where all the huge federal allocations went.
Explaining the big gap between federal funding and the massive debt growth, official data showed how the money came into the city accounts.
Pointing out the sharp jump in local debt numbers, financial reports revealed that “the FCT’s domestic debt stock rose by about N328 billion within one year, climbing from approximately N61 billion in March 2025 to N389 billion by March 2026”.
Highlighting the large federal funds received by the territory during the same timeframe, records noted that “the FCT received a combined N227.4 billion in federal statutory allocations between July 2025 and June 2026”. Financial analysts are asking the government to explain why borrowing grew so fast.
Jennifer Baba is a journalist, international news correspondent, and writer at Moderncrux, where she covers artificial intelligence, fintech, emerging technologies, global politics, and international affairs. Based in Nigeria, she is passionate about transforming complex global developments into clear, engaging stories that inform and inspire readers.
