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Bank loans dominate as Nigeria’s top companies owe N6.25trn in debt

Bank loans dominate as Nigeria’s top companies owe N6.25trn in debt

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Nigeria’s largest listed companies had a combined debt of N6.25 trillion as of June 2026, with about 74.2 percent coming from bank loans and other direct borrowing facilities, according to Nairametrics.

A review of 19 major NGX 30 firms, including Dangote Cement, MTN Nigeria and Seplat Energy, showed only 25.8 percent of the debt was raised through bonds and commercial papers.

The companies’ overall debt position improved in the first half of 2026, falling by N1.50 trillion, while cash balances rose to N5.02 trillion, reducing net debt to N1.23 trillion.

Oil and gas firms accounted for the largest share, with Aradel Holdings and Seplat Energy owing a combined N2.92 trillion.

Even so, elevated bank lending rates, some exceeding 40 percent, continue to leave heavily bank-reliant companies exposed to high borrowing costs.

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