OSOGBO, Nigeria — Governor Ademola Adeleke's administration has reduced Osun State’s domestic debt by N69.18 billion since he assumed office on November 27, 2022. This reduction has moved the state from being among Nigeria’s 10 most indebted states to 18th position in the domestic debt ranking, according to an analysis of data from the Debt Management Office (DMO).

As of December 31, 2022, Osun’s domestic debt stood at N148.37 billion, placing it as the ninth most indebted state. By March 2023, the debt had slightly decreased to N147.05 billion, continuing a gradual decline to N145.71 billion by June, N145.27 billion by September, and N144.60 billion by December 2023.

A substantial drop occurred by March 31, 2024, when Osun’s domestic debt fell to N87.01 billion, marking a reduction of N57.59 billion from the December 2023 figure. The downward trend persisted through the remainder of 2024 and into 2025, with the debt reaching N80.28 billion by the end of December 2025.

The latest DMO domestic debt report, as of March 31, 2026, places Osun’s domestic debt at N79.19 billion. This represents a total reduction of N69.18 billion, or approximately 46.6 per cent, from the N148.37 billion recorded before Governor Adeleke took office.

This significant decrease has altered Osun’s standing among Nigeria’s most indebted states. The state improved its position from ninth place in December 2022 to 18th place by March 2026.

To achieve this reduction in domestic debt, the state has incurred substantial expenditure on debt servicing. Osun's 2023 audited financial statements indicate that N16.73 billion was spent on public debt charges, defined as interest and other expenses related to borrowing for qualifying assets. Of this amount, N1.57 billion was for domestic interest discount and N15.15 billion was for domestic principal repayment.

Debt servicing expenditure saw a notable increase in 2024, reaching N23.05 billion. However, the majority of this payment was directed towards foreign debt, with only N500,000 allocated to domestic debt repayment during that year.

In 2025, public debt charges rose again to N27.44 billion. According to the 2025 audited financial statements, N4.56 billion was spent on interest for domestic debt, and N22.89 billion was used for domestic principal repayment.

These figures demonstrate that while Osun’s domestic debt stock has consistently declined under Governor Adeleke, the state has continued to allocate significant resources towards meeting its debt obligations. The most rapid reduction in the debt stock was observed between December 2023 and March 2024, with a decrease of N57.59 billion.

It is important to note that the DMO data specifically pertains to domestic debt and does not represent the total indebtedness of Osun State, which may include other financial obligations. Despite the improvement in its ranking, Osun’s domestic debt of N79.19 billion as of March 2026 remains a considerable financial commitment.