Alex Otti’s administration reduced Abia's domestic debt by 66%, with external debt rising by 14%

Key takeaways:

  • Abia’s domestic debt dropped by 66% between 2023 and 2025.
  • The state reduced domestic debt by about ₦94 billion.
  • Debt fell from roughly ₦138 billion to about ₦48.5 billion within two and a half years.
  • About ₦72 billion of inherited debt was cleared early in the administration.
  • External debt increased by 14% (+$12.9 million) over the same period.

Under Alex Otti, Abia State’s domestic debt was aggressively reduced. From the moment the administration took over in 2023, the trajectory moved from accumulation to repayment. In 2025, the government reportedly repaid about ₦72 billion of an inherited debt of roughly ₦138 billion.

But the picture isn’t entirely one-directional. While domestic debt was shrinking, external debt edged slightly upward. External loans — often longer-tenured — may have been used selectively to support high projects.

Source:

Debt Management Office (DMO)

Period:

2023-2025
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